SPHR Question #253: Real Exam Question with Answer & Explanation

The correct answer is B. $5. Earnings Per Share (EPS) = Net Income ÷ Number of Outstanding Shares = $50 million ÷ 10 million shares Extract from HRCI-aligned HR knowledge: In the Leadership and Strategy domain, SPHR candidates are expected to understand key financial metrics like EPS, which is a standard mea

Question

An organization made $50 million last year and has 10 million shares of stock outstanding. The organization's earnings per share is:

Options

A$2
B$5
C$10
D$50

Explanation

Earnings Per Share (EPS) = Net Income ÷ Number of Outstanding Shares = $50 million ÷ 10 million shares Extract from HRCI-aligned HR knowledge: In the Leadership and Strategy domain, SPHR candidates are expected to understand key financial metrics like EPS, which is a standard measure of organizational profitability. Mastery of such indicators supports strategic alignment between HR and finance.

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