For each of the following four groups of companies, state whether you would expect them to distribute a relatively high or low proportion of current earnings and whether you would expect them to have a relatively high or low price-earnings ratio.
a. High-risk companies.
Current earnings
Price-Earnings Ratio
b. Companies that have recently experienced a temporary decline in profits.
Current earnings
Price-Earnings Ratio
c. Companies that expect to experience a decline in profits.
Current earnings
Price-Earnings Ratio
d. “Growth” companies with valuable future investment opportunities.
Current earnings
Price-Earnings Ratio
Thank you. I cannot find this information anywhere.
Denise