Which accounting number has the single greatest impact on stock prices?
A)Total dividends.
B)Total assets.
C)Total revenues.
D)Net income.

Question

Quizplus · Accepted Answer

Net income is the most important accounting number with the single greatest impact on stock prices because it represents the profit or loss of a company during a specific time period. A higher net income indicates that a company is more profitable and has generated more earnings for its shareholders, which typically leads to higher stock prices. This number is also closely watched by financial analysts and investors as an indicator of a company's financial health and future potential.

Which Accounting Number Has the Single Greatest Impact on Stock