The Forward Price-Earning Ratio Is Based on

question 42

Multiple Choice

The forward price-earning ratio is based on

• A) the expected earnings over the coming 12 months and predicted share price in the next 12 months.
• B) the earnings in the previous 12 months and predicted share price in the next 12 months.
• C) the expected earnings over the coming 12 months and current share price.
• D) the previous earnings in the past 12 months and the current share price.

---

Definitions:

Stored Information

Data, knowledge, or facts that have been saved or archived, which can be retrieved and used when needed.

Sensory

Pertaining to the senses or sensation, involving the processing of sensory information by the nervous system.

Short-Term

Referring to a limited, brief period of time, often contrasted with long-term.

Memory Process

The series of steps that the brain undertakes to encode, store, and retrieve information.