Which of the Following Ratios Indicate How Much Investors Are

question 106

Multiple Choice

Which of the following ratios indicate how much investors are willing to pay for the firm's stock for each dollar of reported profits?

• A) Earnings per share ratio
• B) Market/book ratio
• C) Price/earnings ratio
• D) Return on equity ratio
• E) Net profit margin ratio

---

Definitions:

Air Puff

A technique often used in psychological experiments or eye exams, where a burst of air is directed towards the eye or skin to study reflexes or responses.

UCR

Uniform Crime Reporting; a statistical program designed to collect and analyze data on crime reported to law enforcement agencies in the United States.

UCS

Stands for Unconditioned Stimulus in classical conditioning, an event that elicits a natural, reflexive response.

CR

In classical conditioning, the conditioned response is the learned reaction to a conditioned stimulus.