Earnings Per Share (EPS) Is Calculated By

question 73

Multiple Choice

Earnings per share (EPS) is calculated by:

• A) dividing the average number of common shares outstanding throughout the year by net income
• B) dividing net income by the average number of common shares outstanding throughout the year
• C) dividing the number of common shares outstanding at the end of the year by net income
• D) dividing net income by the number of common shares outstanding at the end of the year

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Definitions:

Common Law Duty

Obligations or standards of conduct established through judicial decisions, rather than statutory laws, that individuals and entities are expected to follow.

Negligence

A failure to behave with the level of care that someone of ordinary prudence would have exercised under the same circumstances, often resulting in harm or damage.

Traditional Defenses

Established legal defenses that have been widely recognized and used within the legal system to excuse or mitigate liability.

OSHA

The Occupational Safety and Health Administration, a U.S. government agency responsible for ensuring safe and healthy working conditions.