Earnings Per Share Is a Corporation's After-Tax Earnings Divided by the Number

question 122

True/False

Earnings per share is a corporation's after-tax earnings divided by the number of stockholders.
Earnings per share = After-tax income/Number of shares outstanding

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Definitions:

Investment

The allocation of resources, usually money, into assets with the expectation of generating income or profit in the future.

Budget Surplus

The situation where a government's income exceeds its expenditures within a given time period, enabling savings or debt reduction.

Private Saving

The portion of disposable income that households save rather than spend on consumption.

National Saving

The sum of private and public savings in a country, representing total income not spent on consumption or government expenditures.