Which of the Following Statements Is Correct

question 39

Multiple Choice

Which of the following statements is correct?

• A)The dividend yield and earnings per share both have the same denominator.
• B)The dividend yield and earnings per share both have the same numerator.
• C)Dividends per share are used in calculating both the earnings per share and the dividend yield.
• D)Net income is used in calculating the earnings per share but not in calculating the dividend yielD.Earnings per share equals net income divided by the weighted average number of common shares outstanding.Dividend yield equals dividends per share divided by market price per share.

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