In the December 9, 2008, New York Times article, "Fedex lowers 2009 Earnings Forecast," Fedex said it expeceted to earn an average of $4.13 a share for the fiscal year ending in May, down from its original estimate of an average of $5.00 a share. Analysts were predicting that the company would earn $5.15 a share according to Thomas Reuters. What percent reduction is the company's new estimate from the original estimate in earnings per share? What percent reduction in earnings per share is there between the original estimate and the analysts predictions? Round to the nearest tenth percent.

Question

anonymous · Answer

This is the answer I got The answer is 17.4% 5 – 4.13/5 x 100 = 17.4 % 5.15 – 4.13/5.15 x 100 = 19.8% reduction from the analysts estimate. Would this be correct?