A Stock with a Price-Earnings Ratio of 11

question 37

True/False

A stock with a price-earnings ratio of 11.2 means that the stock is selling for a closing share price that is 11.2 times its latest available net earnings per share.

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Definitions:

Rubella

A contagious viral infection, also known as German measles, marked by a red rash and fever, important for pregnant women to avoid due to risk of congenital rubella syndrome.

Congenital Heart Disease

Congenital heart disease includes heart defects present at birth, causing variations in the normal flow of blood through the heart.

Cataracts

A medical condition where the lens of the eye becomes progressively opaque, resulting in blurred vision and potentially leading to blindness if not treated.

Acquired Immunodeficiency Syndrome

A chronic, potentially life-threatening condition caused by the human immunodeficiency virus (HIV), which damages the immune system.