What Is Determined When the Value of Outstanding Shares Is

question 60

Multiple Choice

What is determined when the value of outstanding shares is multiplied by the number of outstanding shares?

• A) Market capitalization
• B) Stock split value
• C) Earnings per dollar of investment
• D) Dividend value
• E) Earnings per share

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Definitions:

Capitalist Income

Income earned from the ownership of capital or investments, typically in the form of profits, interest, and dividends.

Time-Value

The principle that money available now is worth more than the same amount in the future due to its potential earning capacity.

Irving Fisher

An American economist, statistician, inventor, and Progressive social campaigner known for his contributions to economic theory.

Credit Risk

The risk of loss resulting from a borrower's failure to repay a loan or meet contractual obligations.