Common stockholders' equity divided by number of shares of common stock outstanding is the formula for calculating:
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 the measure of a company's net worth per share of common stock. It is calculated by dividing the common stockholders' equity by the number of shares outstanding. This measure provides investors with an idea of what they would receive if the company liquidated and distributed all of its assets to common shareholders.

Common Stockholders' Equity Divided by Number of Shares of Common