Multiple Choice
Which of the following reasons best explains why earnings per share (EPS) is such a popular measure to evaluate a company?
A) EPS is an excellent measure of how efficiently long-lived assets are being utilized.
B) EPS provides specific information about the ability of a company to repay its long-term debts.
C) EPS makes it easy to compare one company with another.
D) EPS provides information that investors can factor into their expectations about future dividends and stock prices.
Correct Answer:
Verified
Correct Answer:
Verified
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