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Which of the Following Statements Incorrectly Describes Earnings Per Share

Question 56

Multiple Choice

Which of the following statements incorrectly describes earnings per share (EPS) ?


A) Earnings per share is a ratio calculated per common share.
B) An increase in the market price per common share does not result in a decrease in earnings per share.
C) An increase in dividends per share results in an increase in earnings per share.
D) The reissue of treasury stock decreases earnings per share.

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