Multiple Choice
Which of the following statements is CORRECT?
A) If Firms X and Y have the same P/E ratios, then their market-to-book ratios must also be the same.
B) If Firms X and Y have the same net income, number of shares outstanding, and price per share, then their P/E ratios must also be the same.
C) If Firms X and Y have the same earnings per share and market-to-book ratio, they must have the same price earnings ratio.
D) If Firm X's P/E ratio exceeds that of Firm Y, then Y is likely to be less risky and also to be expected to grow at a faster rate.
E) If Firms X and Y have the same net income, number of shares outstanding, and price per share, then their market-to-book ratios must also be the same.
Correct Answer:
Verified
Correct Answer:
Verified
Q21: a bank loan officer were considering a
Q22: Which of the following statements is CORRECT?<br>A)If
Q28: year Swensen Corp.had sales of $303,225, operating
Q28: Bonner Corp.'s sales last year were $415,000,
Q30: Chambliss Corp.'s total assets at the end
Q44: Heaton Corp.sells on terms that allow customers
Q48: is the firm's book value per share?<br>A)
Q61: is the firm's ROE?<br>A) 8.54%<br>B) 8.99%<br>C) 9.44%<br>D)
Q70: is the firm's equity multiplier?<br>A) 3.33<br>B) 3.50<br>C)
Q72: is the firm's TIE?<br>A) 1.94<br>B) 2.15<br>C) 2.39<br>D)