Earnings Per Share

question 74

Multiple Choice

Earnings per share

• A)will increase if net income increases and number of shares remains constant.
• B)will increase if net income decreases and number of shares remains constant.
• C)is number of shares divided by net income.
• D)is the amount of money that goes into retained earnings on a per share basis.
• E)None of the above.

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Definitions:

Programmed Decisions

Decisions that are made following established guidelines or procedures, typically for routine and recurring situations.

Spotlight Questions

Expose a decision to public scrutiny and full transparency.

Public Scrutiny

The critical observation or examination by the general public, often focusing on actions, decisions, or performance.

Transparency

The quality of being easily seen through or understood, often related to the open and honest communication within organizations or governance.