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.
MONETARY is anything pertaining to or having to do with money, money creation, money supply, and the government management of money.
PREDECESSOR AUDITOR is the auditor of a client for a prior year who no longer audits that client.
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