Which of the Following Statements Regarding Earnings Per Share (EPS)is

question 21

Multiple Choice

Which of the following statements regarding earnings per share (EPS) is correct?

• A)EPS can't be used to compare different size companies.
• B)Investors expect a higher EPS for companies with higher stock prices.
• C)It is calculated by dividing net income by the number of common shares issued.
• D)It increases when the number of shares of common stock outstanding increases.

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