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Anettt [7]
1 year ago
9

the current value of a stock is an estimate of question content area bottom part 1 a. the present value of future dividends and

the future price of the stock. b. future earnings and future​ p/e ratios. c. the​ stock's future beta and the future market rate of return. d. all future dividends discounted at the required rate of return minus the growth rate.
Business
1 answer:
Anestetic [448]1 year ago
7 0

The current value of a stock is an estimate of  future earnings and future​ p/e ratios. Thus, option (b) is correct.

<h3>What is stock?</h3>

The stock is the inventory of the company, which includes the raw materials. After the conversion of the stock into finished goods, the goods are sold to the direct customers.

The current value of the stock is calculated as the price-to-earnings (P/E) ratio of the corporation.  The P/E ratio is calculated by dividing the company's stock price by its most recently reported earnings per share (EPS).

Therefore, it can be calculated that option (b) is correct.

Learn more about stock here:

brainly.com/question/14582100

#SPJ4

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