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The ratio comparing a company's market value with its book value is the:
APrice-to-bond ratio
BPrice-to-bill ratio
CPrice-to-brand ratio
DPrice-to-book ratio
Answer & Solution
Correct answer: D. Price-to-book ratio
1. It is also called market to book.
2. It evaluates current market value against the books.
3. It is the price-to-book ratio.
_Source: OpenStax Principles of Finance 2e, Chapter 11, Stocks and Stock Valuation._
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