The Price-Earnings Ratio Is Calculated by

question 177

Multiple Choice

The price-earnings ratio is calculated by

• A)Dividing dividends by earnings per share
• B)Dividing earnings per share by market price per share
• C)Dividing market price per share by earnings per share
• D)Dividing dividends by market price per share
• E)Dividing market price per share by dividends

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Definitions:

Positioning

The strategy of designing a company’s offering and image to occupy a distinct place in the mind of the target market, distinguishing it from its competitors.

Implementation

The process of putting a plan or strategy into operation.

Strategic Planning

The process of defining a company’s direction and making decisions on allocating its resources to pursue this strategy, including its capital and people.

Marketing Strategy

A comprehensive plan formulated by businesses to achieve specific marketing objectives, through targeted actions and resource allocation.