Which of the Following Mathematical Expressions Computes Earnings Per Share

question 44

Multiple Choice

Which of the following mathematical expressions computes earnings per share (EPS) ?

• A)Earnings per share = Net Income × Number of outstanding shares of common stock
• B)Earnings per share = (Net Income + Dividend Paid) ÷ Number of outstanding shares of common stock
• C)Earnings per share = Net Income ÷ Number of outstanding shares of common stock
• D)Earnings per share = (Net Income - Dividend Paid) ÷ Number of outstanding shares of common stock
• E)Earnings per share = (Net Income - Dividend Paid) × Number of outstanding shares of common stock

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Definitions:

Distal Phalanx

The small bone at the tip of the fingers and toes, being furthest from the body.

Intermediate Cuneiform

A bone in the human foot located between the other two cuneiform bones and connects to the second metatarsal.

Lateral Cuneiform

One of the bones in the foot positioned within the tarsal region, contributing to foot structure and function.

Lateral Malleolus

The bony prominence on the outer side of the ankle, formed by the lower end of the fibula, involved in ankle stabilization.