Multiple Choice
Most analysts prefer using price to free cash flow rather than price-to-earnings (P/E) ratio because price to free cash flow is ____.
A) easier to compute
B) more accurate than cash flow per share
C) a stricter measure that reduces the cash flow by the amount of capital expenditures
D) more reliable as a measure of performance
Correct Answer:
Verified
Correct Answer:
Verified
Q2: Income taxes on inventory profits can be
Q3: What is the market price per share
Q4: The _ ratio is a more severe
Q5: If a firm wishes to retain the
Q6: Market-based ratios can be which of the
Q7: Firms with a positive economic value added
Q8: Financial leverage management ratios measure the _.<br>A)
Q9: If a firm has interest expenses of
Q10: The analysis of financial statements is affected
Q11: A low financial ratio may be caused