Explain the Role of Prices in a Market

question 93

Essay

Explain the role of prices in a market.

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Definitions:

EPS

A financial ratio indicating how much money a company makes for each share of its stock, also known as earnings per share.

EBIT

A financial metric used to evaluate a company's operating performance by calculating its profit without the effects of financing and tax expenses.

EBITDA

Earnings Before Interest, Taxes, Depreciation, and Amortization, a measure used to analyze and compare profitability between companies and industries.

Operating Net Cash Flow

The amount of cash generated by a company’s normal business operations over a specific period.