Correct answer = A
"Introduction to Price Multiples," John D. Stowe, Thomas R. Robinson, Jerald E. Pinto, and Dennis W. McLeavey
2008 Modular Level I, Vol. 5, pp. 204-210, 218-223
Study Session 14-61-a, b
discuss the rationales for, and the possible drawbacks to, the use of price to earnings (P/E), price to book value (P/BV), price to sales (P/S), and price to cash flow (P/CF) in equity valuation;
calculate and interpret P/E, P/BV, P/S, and P/CF
Most quality of earnings differences between companies (use of aggressive versus conservative accounting methods) are not likely to be a problem when using P/CF ratios, but are a problem when using P/E ratios.
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发表于 2008-5-31 13:28
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