Importance of Price Earnings Ratio
Write down the importance of Price Earnings Ratio?
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The importance of Price earnings Ratio is it assists investor in deciding whether or not to purchase the shares of specific company at a specific market price. Higher the P/E good is it for the company. If P/E ratio is less than the management must be more particular in knowing the cause of descend as it can influence the company's place in the market.
Economic Territory: This refers to the region of a country where there is a free movement of goods, capital and human resources.
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