What Is the Market Value of a Share of Stock

question 2

Multiple Choice

What is the market value of a share of stock divided by the net income per share called?

• A)earnings per share
• B)price-earnings ratio
• C)value-earnings ratio
• D)earnings yield
• E)market multiple

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Definitions:

Seafloor

The bottom of an ocean or sea, composed of various geological features including ridges, valleys, plains, and trenches, shaped by processes like volcanic activity, sediment deposition, and tectonic movements.

Mid-Ocean Ridges

Oceanic mountain chains that develop due to the movements of tectonic plates, leading to the formation of new sea floor as a result of volcanic eruptions.

Cracks

Thin, linear fractures or separations in materials or geological formations, typically occurring without the displacement of the sides.

Subduction Zone

A zone in which subduction takes place, either referring to the actual downgoing slab and its surroundings or to the region, including Earth’s surface, above the subducting slab.