German Laws and Accounting Procedures Are Designed, Generally, to Protect

question 17

Multiple Choice

German laws and accounting procedures are designed, generally, to protect interests of

• A)shareholders.
• B)managers.
• C)creditors.
• D)employees.

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Definitions:

Earnings Per Share

This is a measure of a company's profitability, calculated by dividing the company's net income by the number of outstanding shares of its common stock.

Common Stock

Equity securities that represent ownership interests in a corporation, entitling holders to vote on corporate matters and receive dividends.

Earnings Per Share

A financial metric calculated by dividing a company's profit by the number of its outstanding shares of common stock.

Authorized Common Shares

The maximum number of common stock shares that a corporation is legally permitted to issue, as stated in its articles of incorporation.