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Lilly Santini
on Oct 09, 2024

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Earnings per share is computed by multiplying net income by the average number of common shares outstanding.

Earnings per Share

A measure of a company's profitability, calculated as the net income divided by the number of outstanding shares of its common stock.

Net Income

The total earnings of a company after deducting all expenses, taxes, and costs from its total revenue.

Common Shares

Equities owned in a corporation, representing a share of the company's profits and a right to vote on certain matters.

  • Assess the implications of certain financial decisions on working capital, book value per share, and market ratios.
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Tiffany GriffinOct 10, 2024
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