financial ratios and growth

4. (15 points) Facebook Inc. is a social networking service. It is a relatively young company that filed for an initial public offering(IPO) in February 2012 and traded its first shares at $38 per share under the NASDAQ symbol “FB”. Find the latest P/E ratio of FB and compare it to an average P/E ratio (You can use the average P/E ratio of S&P 500, which includes selected 500 companies whose shares are traded in NYSE or NASDAQ, two of the major exchanges where stocks are traded). Do you see a difference? What maybe the explanation?

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