Multiple Choice
The price/earnings ratio ________.
A) represents the market price of one share of common stock
B) of 8.5 implies that the company's earnings per share is 8.5 times the market price of one share of its common stock
C) is used by investors to measure the liquidity of their portfolio
D) is most useful when comparing one company to another
Correct Answer:
Verified
Correct Answer:
Verified
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