Question: What does the price earnings ratio ( P / E ) , or multiplier, show? Select answer from the options below The P / E

What does the price earnings ratio (P/E), or multiplier, show?
Select answer from the options below
The P/E shows by how much each incremental dollar of income is expected to increase the per share price.
The P/E shows whether the companys earnings are of either high or low quality.
The price earnings ratios shows whether the companys cash flows are sustainable.
The multiplier shows whether the company is a going concern, or sustainable.

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