The Price-Earnings Ratio Is Calculated By

question 140

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 market price per share by dividends.
• E) Dividing dividends by market price per share.

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Definitions:

Reactants

Substances initially present in a chemical reaction that are consumed during the reaction to create products.

Endergonic Reactions

Chemical reactions that require an input of energy to proceed and are characterized by a positive change in free energy.

Exergonic Reactions

Chemical reactions that release energy, generally in the form of heat, and occur spontaneously.

Input of Energy

The introduction or absorption of energy into a system or process to initiate or drive reactions.