February 2007
Intermediate to advanced
288 pages
6h 32m
English
book
Crash Course in Accounting and Financial Statement Analysis, Second Edition
by Matan Feldman, Arkady Libman
Content preview from Crash Course in Accounting and Financial Statement Analysis, Second Edition
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Earnings per Share
Earnings per Share (EPS) is a popular profitability ratio, measured as the portion of a company’s earnings allocated to each outstanding share of common stock.
EPS is calculated as:
Diluted shares include the impact of potentially dilutive securities that expand the share base, so diluted EPS will almost always be smaller than basic EPS. It is often referred to as net income per share or simply EPS. Both basic and diluted EPS are usually presented on the income statement.
18. EPS
Exercise
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18. EPS
Solution
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