For a company that has only common shares outstanding, dividing total shareholders' equity by the number of shares outstanding determines the:
A) market price per share
B) liquidation value per share
C) earnings per share
D) book value per share

Question

Quizplus · Accepted Answer

Dividing total shareholders' equity by the number of shares outstanding yields the book value per share. This represents the net asset value of the company per share of common stock.

For a Company That Has Only Common Shares Outstanding, Dividing