If You Want to Compare Two Companies, You Should Use

question 3

Multiple Choice

If you want to compare two companies, you should use

• A) Book value per share.
• B) Dividend yield.
• C) Price per share.
• D) Net income.
• E) Price-earnings ratio.

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Definitions:

Grams

A metric unit of mass equal to one thousandth of a kilogram.

Pupil

The part of the eye located in the center of the iris that controls the amount of light entering the eye.

Iris

The colored part of the eye surrounding the pupil, responsible for controlling the amount of light reaching the retina.

Eyeball

The organ of vision that receives light and images, enabling sight.