单选题 An analyst does research about price multiples and gathers the following information about three companies in the same industry:

	Earnings Retention Ratio	Required Rate of Return
Company 1	30%	8%
Company 2	40%	9%
Company 3	50%	10%

According to dividenddiscounted model (DDM), which company most likely has the highest price-to-earnings ratio?
A. Company 1.
B. Company 2.
C. Company 3.

【正确答案】 A

【答案解析】[解析] P/E=payout ratio/(k-g)=(1-earnings retention ratio)/(k-g)，所以P/E与收益留存比率(earnings retention ratio)成反比，与必要回报率成反比，如果要使P/E比例最大，则需要找到最小的收益留存比率(earnings retention ratio)和必要回报率(required rate of return)。