Earnings per share is calculated
A) only for common stock.
B) only for preferred stock.
C) for common and preferred stock.
D) only for treasury stock.

Question

Quizplus · Accepted Answer

Earnings per share (EPS) is a financial metric used to calculate the portion of a company's profit that is allocated to each outstanding share of common stock. It is a ratio that represents the amount of earnings attributable to each outstanding share of common stock. Therefore, EPS is calculated only for common stock.

Earnings Per Share Is Calculated