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ICMA FMFQ Exam - Topic 5 Question 94 Discussion

What does the P/E ratio measure?
A) Price/Earnings
B) Profit/Earnings
C) Price/Estimated yield
D) Profit/Estimated yield

ICMA FMFQ Exam - Topic 5 Question 94 Discussion

Actual exam question for ICMA's FMFQ exam
Question #: 94
Topic #: 5
[All FMFQ Questions]

What does the P/E ratio measure?

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Suggested Answer: A

by Roosevelt at May 07, 2026, 01:33 AM

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Levi
1 month ago
I feel like I might be mixing up the definitions. Wasn't there something about profit in the context of P/E ratios?
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Marleen
1 month ago
I remember practicing a question about financial ratios, and I think the correct answer is A) Price/Earnings.
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Bette
2 months ago
I think the P/E ratio stands for Price/Earnings, but I'm not entirely sure if that's the only interpretation.
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