Shown Below Is a Correlation Table Showing Correlation Coefficients Between

question 10

Essay

Shown below is a correlation table showing correlation coefficients between stock
price, earnings per share (EPS), and price/earnings (P/E) ratio for a sample of 19 publicly
traded companies.
A. What is the correlation between stock price and EPS? Interpret.
b. What is the correlation between stock price and PE? Interpret.
c. What is the correlation between EPS and PE? Interpret.

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