Question:
Tobin's q ratio refers to
Tobin's q ratio refers to
Updated On: Mar 11, 2024
- the ratio of the market value of the firm's assets to the cost of producing those assets
- the ratio of the cost of producing assets to the market value of the assets
- the ratio of the PBT (profit before taxes) to the market value of the firm's assets
- the ratio of the PBT (profit before taxes) to the cost of producing those assets
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The Correct Option is A
Solution and Explanation
The correct answer is (A) : the ratio of the market value of the firm's assets to the cost of producing those assets.
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