Assume that each of the following changes is independent (i.e., except for this change, all other factors
Question:
a. The return on equity increases
b. The aggregate debt-equity ratio declines
c. Overall productivity of capital increases
d. The dividend-payout ratio declines
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a An increase in the ROE with no other changes should cause an increase in the multiple because it w...View the full answer
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Related Book For
Investment Analysis and Portfolio Management
ISBN: 978-0538482387
10th Edition
Authors: Frank K. Reilly, Keith C. Brown
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