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1.Why might a firm trade at a price-to-book ratio greater than 1.0? 2.Explain why some firms have high price-earnings ratios? 3.Give examples in which there

1.Why might a firm trade at a price-to-book ratio greater than 1.0?

2.Explain why some firms have high price-earnings ratios?

3.Give examples in which there is poor matching of revenues and expenses.

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