The Ratio That Uses Weighted Average Ordinary Shares Outstanding in the Denominator

question 80

Multiple Choice

The ratio that uses weighted average ordinary shares outstanding in the denominator is the

• A) price-earnings ratio.
• B) return on ordinary shareholders' equity.
• C) earnings per share.
• D) payout ratio.

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Definitions:

Limited Partnership

A business structure where one or more partners are liable only to the extent of their investments, while at least one other partner has unlimited liability.

General Partners

Individuals in a partnership who are responsible for the management of the business and are personally liable for the partnership's debts.

Corporate Income

The income generated by companies from their operations, including sales, services, and investments.

Taxed

Subjected to a charge or levy by the government on income, transactions, or property to fund public expenditures.