Answer / tushar

P/E is used for Price Earning Ratio. It is a basic formula
to calculate pay back period of an Investment.
Example: A company's share price in market is 100.
Earning per share of that company is 10.

then P/E ratio will be 100/10 i,e. 10.
It means a investor can receive back his investment in 10
Years.

Answer / avii

Price earning ratio

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