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Financial Reporting MCQs

Earnings per share = ?

(Preferred Stock Dividends - Net Income) / (Weighted Average of Common Stock Shares Outstanding)

(Net Income - Preferred Stock Dividends) / (Weighted Average of Common Stock Shares Outstanding)

(Net Income - Preferred Stock Dividends) / (Common Stock Shares Outstanding)

(Preferred Stock Dividends - Net Income) / (Common Stock Shares Outstanding)

Answer

Correct Answer: (Net Income - Preferred Stock Dividends) / (Weighted Average of Common Stock Shares Outstanding)

Explanation:

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