Question

Q23. EPS depends on net profit available to
shareholders.
O A) Equity
OB) Preference
OC) Bonds
OD) Both Equity & Preference​

Answer 1

Answer:

Both Equity & Preference

Answer 2

EPS depends on net profit available to both equity and preference​ shareholders.

• EPS is the earning per share and includes both the equity and preference​ shareholders.
• Favoured stock rights have priority over regular stock. Hence, profits on favoured offers are deducted prior to figuring the EPS.
• At the point when favoured offers are combined, yearly profits are deducted whether they have been announced and distrbuted among shareholders.