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For each of the following statements, indicate whether it is true or false and explain why. (5X2 marks) a. Extraordinary items should be treated separately
For each of the following statements, indicate whether it is true or false and explain why. (5X2 marks) a. Extraordinary items should be treated separately when doing ratio analysis. b. The main problem with Evergrande (Chinese Construction company) is a liquidity issue. c. The market price of a blue chip stock will be more stable than for a company focused on growth. a d. The main aim of a stock split is to reduce the market price of the shares. e. Earnings per share (EPS) is the most important ratio to consider when purchasing shares as an investor
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