Which of the following is a limitation of the P/E method?

a. Finding the price of the stock

b. Difficulty forecasting earnings

c. Finding earnings per share information

d. Using the formula

If you were a supplier of a company selling goods on 30-day terms, you would be most concerned with ratios measuring

Select one:

a. liquidity.

b. financial leverage.

c. efficiency.

d. profitability.

The interest received from bonds (not held in a tax sheltered investment account) is taxed at the same rate as employment income.

T/F