"what are the earnings per share (eps) for a company that earned rs. 100,000 last year in after-tax profits, has 200,000 common shares outstanding and rs. 1.2 million in retained earning at the year end?"
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The earning per share will be Rs. 2 per share
Rs. 2,00,000 common shares divided by Rs. 1,00,000 profit for the year.
Rs. 2,00,000 common shares divided by Rs. 1,00,000 profit for the year.
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