Common stockholders' equity divided by number of shares of common stock outstanding is the formula for
A) earnings per share (EPS).
B) dividends per share (DPS).
C) book value per share (BVPS).
D) market value per share (MVPS).

Question

Quizplus · Accepted Answer

Book value per share (BVPS) is calculated by dividing common stockholders' equity by the number of shares of common stock outstanding. This metric provides the value of a company's equity on a per-share basis, offering insight into what shareholders might theoretically receive if the company were liquidated.

Common Stockholders' Equity Divided by Number of Shares of Common