Andreas42

Q 1) All else equal, a firm will have a higher PricetoEarnings (P/E) multiple if:
A) return on equity (ROE) is lower.
B) the stock’s beta is lower.
C) retention ratio is higher.
looks like two right anwers here.
ROE Low g low rg is HIGH so P/E Low
Beta Lowr low r  g is low P/E High
b is HIGH g is HIGH r  g is low P/E High (with all other factors equal).
guess it is a mistake on QBank.