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Which of the Following Formulas Regarding the Earnings-To-Price Ratio Is

Question 27

Multiple Choice

Which of the following formulas regarding the earnings-to-price ratio is true?


A) EPS/P0 = r[1 + PVGO/P0]
B) EPS/P0 = r[1 - PVGO/P0]
C) EPS/P0 = [r + PVGO/P0]
D) EPS/P0 = [1 + r + PVGO/P0) ]/r

Correct Answer:

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