Recently, the price-earnings ratio of Amazon.com, Inc. was 191.7 times, and the price-earnings ratio of Bank of

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Recently, the price-earnings ratio of Amazon.com, Inc. was 191.7 times, and the price-earnings ratio of Bank of Montreal was 12.1 times. The dividend yield of each company was 0.0% and 3.9%, respectively. Which company's shares would you purchase for growth? For income? Explain.
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Financial Accounting Tools for Business Decision Making

ISBN: 978-1119368458

7th Canadian edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine

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