Q294
Ratios which relate firm's stock to its book value per share, cash flow and earnings are classified as
A.
return ratios
B.
market value ratios
AnswerC.
marginal ratios
D.
equity ratios
Answer: Option B
Solution
Answer: Option B
Solution:
Ratios which relate firm's stock to its book value per share, cash flow and earnings are classified as market value ratios. Market value ratios are used to evaluate the current share price of a publicly-held company's stock.