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An Inconsistency Between a Stock's P/E Ratio and Growth Rate

Question 33

Multiple Choice

An inconsistency between a stock's P/E ratio and growth rate can be attributed to all of the following, EXCEPT


A) a major difference in the risk involved.
B) inaccurate growth estimates.
C) an undervaluation of the stock.
D) an overvaluation of the stock.
E) competition.

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