The amount earned during the accounting period on each outstanding share of common stock iscalled
A) net profits after taxes.
B) earnings per share.
C) net income.
D) a common stock dividend.

Question

Quizplus · Accepted Answer

Earnings per share represents the amount earned during the accounting period on each outstanding share of common stock. Net profits after taxes and net income are similar concepts, but they represent the total profit or income of the company rather than the amount earned per share of stock. A common stock dividend represents a distribution of profits to shareholders, rather than the amount earned per share of stock.

The Amount Earned During the Accounting Period on Each Outstanding