Which of the Following Statements Is FALSE

question 38

Multiple Choice

Which of the following statements is FALSE?

• A)We can estimate the value of a firm's shares by multiplying its current earnings per share by the average P/E ratio of comparable firms.
• B)For valuation purposes,the trailing P/E ratio is generally preferred,since it is based on actual not expected earnings.
• C)Forward earnings are the expected earnings over the coming 12 months.
• D)Trailing earnings are the earnings over the previous 12 months.

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Definitions:

Battery

The act of causing bodily harm to another person or making offensive physical contact.

Nasal Passages

The channels within the nose that allow for the flow of air during breathing; also involved in filtering, heating, and moistening the air.

Gentle Suction

A mild and careful application of suction, often used during medical procedures to clear bodily fluids without causing harm or discomfort to the patient.

Forcefully Blow

To expel air or another substance from the mouth, nose, or another body part with strong, sudden pressure.