question archive The P/E ratio that is based on a firm's financial statements and reported in the newspaper stock listings is different from the P/E ratio derived from the dividend discount model (DDM) because O the people who construct the ratio from financial statements have inside information
The P/E ratio that is based on a firm's financial statements and reported in the newspaper stock listings is different from the P/E ratio derived from the dividend discount model (DDM) because O the people who construct the ratio from financial statements have inside information
Subject:BusinessPrice: Bought3
The P/E ratio that is based on a firm's financial statements and reported in the newspaper stock listings is different from the P/E ratio derived from the dividend discount model (DDM) because O the people who construct the ratio from financial statements have inside information. O They are not different - this is a "trick" question. O the DDM uses different earnings measures in the denominator. the prices reported are not accurate.
