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In the Q-Theory of Investment, the Q Stands for

Question 28

Multiple Choice

In the q-theory of investment, the q stands for


A) the level of investment divided by the level of GDP
B) the replacement cost of capital divided by the market value of a firm
C) the market value of a firm divided by the replacement cost of capital
D) the quantity of stocks outstanding divided by total earnings
E) the price-earnings ratio

Correct Answer:

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