Last Year, the EPS, for 250,000 Shares Outstanding Was $4

question 19

Multiple Choice

Last year, the EPS, for 250,000 shares outstanding was $4, for a company with invested capital of $21 million. What was the Company's net income that year?

• A) $84,000,000
• B) $5,250,000
• C) $1,000,000
• D) $336,000
• E) $62,500

Recognize how the supply curve represents producers' willingness to sell and its relationship with producer surplus.

Analyze different scenarios to determine changes in total producer surplus due to price changes.

Identify factors that influence individual and total producer surplus, including market dynamics and cost structures.

Compare and contrast producer surplus with consumer surplus and total surplus.

---

Definitions:

Treasury Stock

Shares of a company's own stock that it has reacquired and held in the company's treasury.

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock and typically does not have voting rights but has a fixed dividend.

Common Stock

A type of equity security that represents ownership shares in a corporation, providing voting rights and entitling the holder to a share of the company’s success through dividends and/or capital appreciation.

Treasury Stock

Shares that were once part of the outstanding shares and were bought back by the company.