Which of the Following Is NOT a Major Variable That

question 43

Multiple Choice

Which of the following is NOT a major variable that affects the aggregate stock market earnings multiplier in a country?

• A) required rate of return on common stock in the country
• B) expected growth rate of dividends for the stocks in the country
• C) composite dividend-payout ratio for common stocks in country
• D) composite debt to equity ratio for firms in the country
• E) All of these are correct (that is, all are major variables for a country's aggregate stock market earnings multiplier).