Question: Question 1 1 Basu ( 1 9 7 7 , 1 9 8 3 ) found that firms with low P / E ratios earned
Question
Basu found that firms with low PE ratios
earned lower average returns than firms with high PE ratios.
earned the same average returns as froms with high ratios.
had higher dividend yields than firms with high PE ratios.
earned higher average returns than firms with high PE ratios.
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