PRICE EARNINGS MULTIPLE Definition

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PRICE EARNINGS MULTIPLE: The price-earnings ratio (P/E) is simply the price of a companys share of common stock in the public market divided by its earnings per share. Multiply this multiple by the net income and you will have a value for the business. If the business has no income, there is no valuation. If the common stock in not publicly traded, valuation of the stock is purely subjective. This may not be the best method, but can provide a benchmark valuation.

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UNDER-BILLING is not recovering the full value of the agreed upon price or not billing for the correct amount of services or goods provided (usually unintentional).

SLR see STATUTORY LIQUIDITY RATIO. SLR is an acronym with several other possible meanings, e.g., Stock Level Report, Stock Level Requirement, System Level Requirement(s), etc.

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