A firm has an earnings retention ratio of 40%. The stock has a market capitalization rate of 15% and an ROE of 18%. What is the stock's P/E ratio?
A. 12.82
B. 7.69
C. 8.33
D. 9.46
B. 7.69
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Which of the following best describes the term "sensitivity analysis"?
A) It is a testing technique to determine how results would differ if key assumptions are changed. B) It is an analysis of the emotional sensitivity of a company's employees. C) It is an evaluation of the accuracy of the assumptions. D) It evaluates a company's financial condition by doing financial statement analysis.
Production overhead does not include the costs of
a. factory depreciation and supplies. b. factory employees' cafeteria departments. c. production line labor. d. the maintenance department for the factory.
If a firm's competitive strategy is to be a cost leader, then business activities need to be developed to provide essential functions at the lowest possible cost
Indicate whether the statement is true or false
The U.S. CAN-SPAM Act:
A) makes spamming illegal. B) requires commercial email senders to identify themselves. C) has dramatically cut down spamming. D) does not override state anti-spamming laws. E) has not yet gone into effect.