The average Japanese P$/$E ratio was reported as between $40$ and $100$ in recent years while the average U$.$S$.$ P$/$E ratio was $25.$ The reason for the higher Japanese P$/$E ratio has been partially explained by:

Multiple Choice

growth opportunities over stated earnings.

understated earnings and low interest rates.

overstated earnings and low interest rates.

understated earnings and overstated growth opportunities.

low interest rates and greater growth opportunities.