The Price-Earnings Ratio Is Calculated by Dividing

question 19

Multiple Choice

The price-earnings ratio is calculated by dividing:

• A) Market value per share by earnings per share.
• B) Earnings per share by market value per share.
• C) Dividends per share by earnings per share.
• D) Dividends per share by market value per share.
• E) Market value per share by dividends per share.

---

Definitions:

Synchronizers

Components in manual transmissions that help match the speeds of the gear to be engaged with that of the output shaft, allowing for smooth shifting.

Engine Mounts

Components that attach the engine to the vehicle's frame or body, absorbing vibration and shock to minimize cabin noise and vibration.

Input Shaft

The shaft in a gearbox that receives power from the engine or motor to be transmitted to the gears.

Engine Flywheel Housing

A protective casing that houses the flywheel and connects it to the engine block.