Dividing the net income for the year by the average number of common shares outstanding during the year (if only common stock is outstanding) is the calculation for the
A) return on stockholders' equity.
B) return on assets.
C) earnings per share.
D) book value per share.

Question

Quizplus · Accepted Answer

Dividing the net income for the year by the average number of common shares outstanding during the year gives the earnings per share. This calculation shows how much income is generated per share of common stock.

Dividing the Net Income for the Year by the Average