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

question 262

Multiple Choice

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

• A) EPS for income from continuing operations must be reported on the face of the income statement.
• B) EPS is the most widely used of all business statistics.
• C) When computing EPS, preferred dividends are subtracted from net income because the preferred stockholders have the first claim to dividends.
• D) EPS reports the amount of income (loss) for each share of the company's issued common stock.

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