The amount of a company's net income earned for each share of its outstanding common stock is termed the:
A)dividend yield.
B)return on equity.
C)price/earnings ratio.
D)earnings per share.

Question

Quizplus · Accepted Answer

Earnings per share (EPS) measures a company's profits excluding any preferred dividend payments, divided by the weighted average number of common shares outstanding during the period. It is a key measure used by investors to evaluate a company's profitability and financial health.

The Amount of a Company's Net Income Earned for Each