Which of the following is not considered in the price-earnings ratio technique? A) Firm's required rate of return on equity (k) B) Firm's dividend payout ratio (D/E) C) Firm's expected growth rate of dividends (g) D) All of the above are components of P/E ratio E) None of the above are components of P/E ratio

Question

Quizplus · Accepted Answer

All of the listed components (k, D/E, and g) are considered in the price-earnings ratio technique.

Which of the Following Is not considered in the Price-Earnings