QUESTION 8

1. A company does not have to pay dividends to be valuable to an investor.

   True

   False

1 points

QUESTION 9

1. If a company has 1,000 shares outstanding and each share is worth $10, the market capitalization of that firm is $1,000.

   True

   False

1 points

QUESTION 10

1. If the price of one share of Wells Fargo Bank is $50 & Wells Fargo's earnings per share (EPS) are $2, then the (P/E) ratio of Wells Fargo is 25.

   True

   False