Jcausey2382 Jcausey2382
  • 22-09-2018
  • Business
contestada

A high level of expected risk suggests a low price-earnings ratio.
a. True
b. False

Respuesta :

andromache andromache
  • 05-10-2018

Price-earnings ratio is calculated by dividing the market price of the stock by its Earnings per share (EPS). A high level of expected risk suggests a lower level of EPS as compared with the Market price; hence the Price-earnings ratio shall be higher.

Hence, the given statement “A high level of expected risk suggests a low price-earnings ratio” is false.

The answer is b. False.


Answer Link

Otras preguntas

Write a story problem that will result in the problem 5 + (-12)
cite two reasons friction occurs between surfaces
A certain isotope x2+ contains 48 electrons and 75 neutrons. what is the mass number for this element?
The density of a liquid can be determined by weighing a known volume of the liquid in a graduated cylinder. The data from the experiment is as follows: weight o
what is the degree of the polynomial expression 4khrn
Which rock was subjected to intense heat and pressure but did not solidify from magma? sandstone schist gabbro rhyolite
How does American democracy balance the power of majority rule
Which of these is appropriate concert behavior during live performances?
The movie house gives away a $5 coupon for every 4 movies purchased. They give away a bag of popcorn for every 3 movies purchased. How many movies would you h
Choose the correct description of the graph of the inequality x − 3 greater than or equal to 5.