Which of the fundamental factors was NOT used in the Fundamental Index created by Research Affiliates, Inc.?
A) sales
B) profits (cash flow)
C) leverage (debt/equity)
D) net assets (book value)
E) dividends

Question

Quizplus · Accepted Answer

The Fundamental Index created by Research Affiliates, Inc. used sales, profits (cash flow), net assets (book value), and dividends to select and weight securities in the index. However, it did not use leverage (debt/equity) as a fundamental factor.

Which of the Fundamental Factors Was NOT Used in the Fundamental