Which of these ratios measure returns to shareholders?
A)Earnings per share.
B)Dividend yield.
C)Return on ordinary shareholders' funds.
D)All of the above.

Question

Quizplus · Accepted Answer

All of the above options, i.e., earnings per share, dividend yield, and return on ordinary shareholders' funds, are ratios that measure returns to shareholders.

Earnings per share measures the portion of a company's net profit that can be attributed to each outstanding share of common stock. Dividend yield measures the amount of dividend paid out to shareholders as a percentage of the stock's current market price. Return on ordinary shareholders' funds indicates how efficiently a company is generating profits from the money invested by ordinary shareholders.

Which of These Ratios Measure Returns to Shareholders