Which of the Following Statements Is CORRECT

question 107

Multiple Choice

Which of the following statements is CORRECT?

• A) If Firms X and Y have the same P/E ratios,then their market-to-book ratios must also be equal.
• B) If Firms X and Y have the same net income,number of shares outstanding,and price per share,then their P/E ratios must also be the same.
• C) If Firms X and Y have the same earnings per share and market-to-book ratio,then they must have the same price/earnings ratio.
• D) If Firm X's P/E ratio exceeds that of Firm Y,then Y is likely to be less risky and/or be expected to grow at a faster rate.
• E) If Firms X and Y have the same net income,number of shares outstanding,and price per share,then their market-to-book ratios must also be the same.

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Definitions:

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A branch of psychology focusing on the study of human strengths and happiness, rather than mental illness.

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A movement aimed at improving the conditions and treatment of asylum patients by advocating for better mental health care practices and facilities.

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