The Following Equation, (Net Income - Preferred Stock Dividends)/number of Shares

question 27

Multiple Choice

The following equation, (net income - preferred stock dividends) /number of shares of common stock outstanding,allows us to calculate the ________ and this information is necessary to calculate the ________ ratio.

• A)dividend yield;dividend
• B)earnings per share;P/E
• C)market-to-book ratio;book-to-market
• D)stock growth;P/E
• E)price-to-book ratio;market-to-book

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