American_Bankers_Association
CTFA · Question #21
What are the earnings per share (EPS) for a company that earned $100,000 last year in after-tax profits, has 200,000 common shares outstanding and $1.2 million in retained earning at the year end?
The correct answer is C. $0.50. See the full explanation below for the reasoning.
Investment Management
Question
What are the earnings per share (EPS) for a company that earned $100,000 last year in after-tax profits, has 200,000 common shares outstanding and $1.2 million in retained earning at the year end?
Options
- A$100,000
- B$6.00
- C$0.50
- D$6.50
How the community answered
(25 responses)- A8% (2)
- B16% (4)
- C72% (18)
- D4% (1)
Topics
#EPS#earnings per share#financial ratios#equity analysis
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