Multiple Choice
What is the key difference between historical PER and prospective PER?
A) Prospective PER uses next year's share price; historical PER uses last year's price.
B) Prospective PER uses last year's earnings and the current share price; historical PER uses next year's earnings and the current share price.
C) Prospective PER uses next year's earnings and next year's price; historical PER uses last year's earnings and last year's price.
D) Prospective PER uses next year's earnings and the current share price; historical PER uses last year's earnings and the current share price.
Correct Answer:
Verified
Correct Answer:
Verified
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