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    Exam 3: Financial Statements and Ratio Analysis
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    Holding All Other Factors Constant,a Higher Price/earnings (P/E)ratio Indicates That
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Holding All Other Factors Constant,a Higher Price/earnings (P/E)ratio Indicates That

Question 204

Question 204

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Holding all other factors constant,a higher price/earnings (P/E)ratio indicates that investors have more confidence in a firm's future performance.

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