According to Peter Lynch, a Rough Rule of Thumb for Security

question 28

Multiple Choice

According to Peter Lynch, a rough rule of thumb for security analysis is that

• A)the growth rate should be equal to the plowback rate.
• B)the growth rate should be equal to the dividend-payout rate.
• C)the growth rate should be low for emerging industries.
• D)the growth rate should be equal to the P/E ratio.

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