SPHR · Question #253
An organization made $50 million last year and has 10 million shares of stock outstanding. The organization's earnings per share is:
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
How the community answered
(17 responses)- B94% (16)
- D6% (1)
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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