Question

a company has 1000 shares at the beginning of fiscal year on 1st October it has issued 1000shares if the company net profit is 3000 what is its EPS​

Answer 1

Answer:

EPS =3000+1000

EPS=4000

Answer 2

Rs 2.4 is the EPS  when a company has 1000 shares at the beginning of fiscal year on 1st October it has issued 1000shares if the company net profit is 3000.

• EPS is earning per share.
• EPS = comapany's profit or earnings/ company's weighted average outstanding shares
• It tells us how much money the company earns per share from its stock of shares.
• Company's outstansding shares can be calculated as follows:

(1000*12/12)+(1000*3/12) = 1000+250 = 1250

• Comany's earning per share can be calculated as follows :

3000/1250 = 2.4