True or False (Please answer all)

________ 1.) A high dividend paying company may appear overvalued when using the PEG ratio.

________ 2.) The CAN SLIM investment strategy screens out stocks that are expensive.

________ 3.) Average sector or industry multiples can expand during a bull market.

________ 4.) The Dreman investing approach is one that seeks stocks that are out-of-favor.

________ 5.) Value investing is not concerned with growth in revenues or earnings.

________ 6.) If a stock is correctly priced, E(HPR) = k.

________ 7.) P/B > 1.0 implies that the market is assigning a premium to a companys net assets.

________ 8.) A low P/E ratio reflects optimism in the companys growth prospects.

________ 9.) Sector-specific multiples can be hard to interpret.

________ 10.) The Magic Formula investment strategy includes a margin of safety calculation.

________ 11.) The inverse of the P/E ratio is called the earnings yield.

________ 12.) The Buffett investing approach offers many buying opportunities.

________ 13.) If a company has no debt, the return on assets will equal the return on equity.

________ 14.) Stable growth firms tend to pay smaller dividends relative to earnings.

________ 15.) Stock P/E ratios will decrease for higher levels of beta for the stock.

________ 16.) The CAN SLIM strategy only utilizes fundamental factors.

________ 17.) Book value represents a price floor for a company.

________ 18.) For the Constant Growth DDM, dividends and the stock price grow at the same rate.

________ 19.) A return on equity screening strategy will often generate a small number of stocks.

________ 20.) EBITDA is sometimes referred to as operating income.