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If Earnings Per Share (EPS)increases,it Must Mean That the Company's

question 114

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If earnings per share (EPS)increases,it must mean that the company's net income has increased.


Definitions:

Producer Surplus

The gap between the price that sellers are ready to take for a product or service and the actual price they get from the market.

Deadweight Loss

An economic inefficiency that arises when the balance for a product or service is either not attained or cannot be attained.

Consumer Surplus

The differential between the overall amount consumers are willing and financially prepared to spend on a good or service, and what they end up spending.

Producer Surplus

The difference between what producers are willing to accept for a good versus what they actually receive, essentially the extra benefit to producers from selling at the market price.

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