Asked by autumn hager on Jun 07, 2024
Verified
Earnings per share increases when a company purchases treasury stock.
Earnings Per Share
A financial metric that divides net income by the number of outstanding shares, indicating the profit available to each share of stock.
Treasury Stock
Stocks initially released and later repurchased by the company that issued them, leading to a reduction in the available shares on the public market.
Purchases
The total amount spent on buying goods and services for either resale or use in production in a specific accounting period.
- Master the subject of earnings per share and the formula used in its computation.
Verified Answer
Learning Objectives
- Master the subject of earnings per share and the formula used in its computation.
Related questions
Net Income Decreases When Treasury Stock Is Sold for an ...
The Dividend Yield Ratio Is Calculated as Dividends Per Share ...
Basic Earnings Per Share Is Calculated by Dividing ...
Selected Data from Carmen Company at Year-End Are Presented Below ...
A Company Reports the Following Calculate the Company's Earnings Per ...