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Management · Q285

Financial Management

Graduate and Post Graduate · Management · question 285

Q285

Price per ratio is divided by cash flow per share ratio which is used for calculating

A.
dividend to stock ratio
B.
sales to growth ratio
C.
cash flow to price ratio
D.
price to cash flow ratio
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Price per ratio is divided by cash flow per share ratio which is used for calculating price to cash flow ratio. The price-to-cash flow (P/CF) ratio is a stock valuation indicator or multiple that measures the value of a stock's price relative to its operating cash flow per share.