The PEG ratio

A) preferred by investors is equal to 2.0 or higher.
B) compares the price/earnings ratio to the rate of growth of the company's earnings.
C) is a measure of a firm's liquidity.
D) measures the ability of a firm's assets to generate growth for the firm.

Answer: B

Business

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Which of the following formulas is used to calculate the cost per equivalent unit of production (EUP) for direct materials? The weighted-average method is used

A) Cost per EUP for direct materials = Total conversion costs / Equivalent units of production for direct materials B) Cost per EUP for direct materials = Total direct materials costs / Equivalent units of production for direct materials C) Cost per EUP for direct materials = Total transferred in costs / Equivalent units for transferred in D) Cost per EUP for direct materials = Total direct materials costs / Equivalent units of production for conversion costs

Business

A statement that goes beyond what is observed and is about the past, present, or future is called a

A) statement of fact B) statement of opinion C) statement of perception D) statement of value

Business