Critics of EPS as a Measure of Profitability Point Out

question 64

Multiple Choice

Critics of EPS as a measure of profitability point out that it does not consider:

• A) simple capital structures.
• B) the amount of assets or capital required to generate a particular level of earnings.
• C) the deduction of preferred stock dividends from net income.
• D) adjustments for dilutive securities and the adjustment to weighted average number of
• Shares outstanding for complex capital structures.

Understand the principles of balance in visual design and their effects.

Identify different platforms and tools for presenting visual and textual content.

Comprehend the roles of titles, captions, legends, and summaries in enhancing understanding of visual aids.

Recognize techniques to improve writing style, tone, and document structure.

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Definitions:

Calculations

Mathematical processes used to determine the result or solution to a problem.

Surplus

An amount of something left over when requirements have been met; an excess of production or supply over demand.

Being In The Black

A financial term indicating a company or individual is making a profit or has a positive balance.

Deficit

A shortfall or deficiency, such as in a budget or in the amount of a required substance.