A high price-earnings ratio indi- cates: (a) a company has strong future earnings potential. (b) a company's

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A high price-earnings ratio indi- cates:

(a) a company has strong future earnings potential.

(b) a company's stock is priced too high and is likely to come down.

(c) either

(a) or (b).

(d) neither

(a) nor (b)

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Financial Accounting Tools For Business Decision Making

ISBN: 9780471169192

1st Edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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Question Posted: Jun 14, 2024 01:30 AM

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A high price-earnings ratio indi- cates: (a) a company has strong future earnings potential. (b) a company's

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Financial Accounting Tools For Business Decision Making

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