Kindest Inc

question 20

Multiple Choice

Kindest Inc.generates a net profit of $345.1 million from 17 million shares.Calculate the earnings per share of the company.

• A)$20,300 per share
• B)$2,030 per share
• C)$203 per share
• D)$2.3 per share
• E)$20.3 per share

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Definitions:

Accounts Receivable Policy

outlines the terms and conditions under which a company extends credit to its customers, including payment terms, interest rates on overdue payments, and collection procedures.

Accounts Receivable Turnover

A financial ratio that measures how efficiently a company collects revenue from its credit sales by analyzing the number of times average accounts receivable are turned over during a period.

Credit Sales

Transactions where the goods or services are provided to the customer with the understanding that payment will be made at a later date.

Short-Term Financial Policy

A strategic approach focusing on managing a company's short-term liabilities and assets, vital for ensuring liquidity and operational efficienc.