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Which one of the following statements about the PE ratio is true?

a. A company with high growth opportunities ordinarily has a high PE ratio. b. A PE ratio has more meaning when the firm has losses than when it has profits. c.A PE ratio has more meaning when a firm has abnormally low profits in relation to its asset base. d. A PE ratio expresses the relationship between a firm's market price and its net sales.

Accounting
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Question ajoutée par SREEDEVI SUNILKUMAR , Business finance officer , Emirates Airline
Date de publication: 2014/04/01
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Imran Adwani
par Imran Adwani , Head of Internal Audit , Abdulla Bin Zayed Investment Group

Option 'a'.

MALIIK SOHAIL ABBAS
par MALIIK SOHAIL ABBAS , ACCOUNTS MANAGER , AL RAWDAH GREEN SWEET WATER

Answer  "A" is correct

Anayatullah Tahir
par Anayatullah Tahir , Finance Manager , Etqan Projects

Option A is correct

Kamran Anjum
par Kamran Anjum , Head of Internal Audit , Rafhan Maize Products Company limited, Faisalabad, Pakistan, Ingredion Incorporated Gmbh

Option A is the right answer.

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