Question

What is the result of net loss or net income allocated to each share of stock?...

What is the result of net loss or net income allocated to each share of stock?

A.

Earnings Per Share
B.

Net Margin
C.

Gross Profit
D.

Earnings Before Interest, Taxes, Depreciation, and Amortizations
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Homework Answers

Answer #1

Earning per share is the portion of company profit that is allocated to each outstanding shares of common stock.It is calculated by using following formula;

=Net Inccome/No. of shares of common stock outstanding.

Thus the correct answer is Option A

Net margin is percentage of revenue remaining after all operating expenses, interest,taxes and preferred stock dividend have been deducted from a company's total revenue.

Gross profit is the sales less cost of goods sold.

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