Listed Below Are Five Terms Followed by a List of Phrases

question 97

Multiple Choice

Listed below are five terms followed by a list of phrases that describe or characterize each of the terms. Match each phrase with the correct term.
-Issuance of new shares

• A)Decrease in the EPS numerator.
• B)Time-weighted increase in the basic EPS denominator.
• C)Does not affect and is not affected by EPS calculations.
• D)Potentially dilutive debt.
• E)Time-weighted decrease in the basic EPS denominator.

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Definitions:

Operating Expense

Recurring expenses incurred during regular business operations, such as salaries, utilities, and rent.

Operating Profit

Operating Profit refers to the profit earned from a firm's core business operations, excluding deductions of interest and taxes.

Selling Price

The amount of money for which a product or service is sold to the buyer.

Unit Cost

The cost incurred by a company to produce, store, and sell one unit of a particular product or service.