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One Measure of the Importance of a Publicly Traded Asset

Question 16

Multiple Choice

One measure of the importance of a publicly traded asset class in the U.S. economy can be calculated by multiplying the number of publicly traded shares by the current market price of the stock. The result of this calculation is more commonly referred to as:


A) market capitalization
B) capitalization rate
C) price-earnings ratio
D) earnings-per-share ratio

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