Answer (Choose 1 answer)
(See picture)
A. False
B. True
True or False:
Given below is the scatter plot of the price/earnings ratio versus earnings per share of 20 U.S. companies. There appear to be a positive relationship between price/earnings ratio and earnings per share.
Scatter Plot
70.00
60.00
50.00
40:00
30.00
20.00
10.00
0.00
0.00
0.20
0.40
0.80
1.00
P/E Ratio
0.60
Earning Per Share
El 29
