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Home Q & A Board Other Fields Homework Help Business Finance
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johnpaech johnpaech
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Posts: 1098
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6 years ago
Which of the following statements is FALSE?
A) We can estimate the value of a firm's shares by multiplying its current earnings per share by the average P/E ratio of comparable firms.
B) For valuation purposes, the trailing P/E ratio is generally preferred, since it is based on actual not expected earnings.
C) Forward earnings are the expected earnings over the coming 12 months.
D) Trailing earnings are the earnings over the previous 12 months.
Textbook 
Corporate Finance: The Core

Corporate Finance: The Core


Edition: 4th
Authors:
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anicidanicid
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#1
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6 years ago
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johnpaech Author
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#2
6 years ago
You took a load off my back, thanks for answering correctly
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