Ask Experts Questions for FREE Help !
Ask
    cdoner's Avatar
    cdoner Posts: 4, Reputation: 1
    New Member
    		  
    #1

    Feb 24, 2008, 03:05 PM
    Calculate the Denominator for Earnings Per Share
    I'm thinking it goes like this...

    Net income-Preferred dividends/average # of common shares outstanding = EPS

    Is this correct?

    Thanks
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
    Uber Member
    		  
    #2

    Feb 24, 2008, 10:52 PM
    Yes. But since you titled it "calculating the denominator," does that mean you're having trouble doing that part? They mean the average of the beginning and ending balances of shares.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

How do you calculate retained earnings [ 1 Answers ]

How do you calculate retained earnings

Calculate earnings per share [ 1 Answers ]

Net income = $182 ... Year1... Year2 Preferred stock, $5 par, 15%... $120... $120 Common stock, $10 par... $220... $220 Additional paid-in capital-common stock... $110... $110 Retained earnings... $1050... $940 Ttl stockholders' equity... $1500... $1390

Calculate earnings per share [ 2 Answers ]

Quark company earned $90,000 in income and paid cash dividends of $10,000 to preferred shareholders during the current year. Quark had 12,500 weighted-average shares of common stock outstanding for the year. Calculate the company's earnings per share.

Basic earnings per share and diluted earnings per share [ 1 Answers ]

:confused: what is the different between Basic earnings per share and Diluted earnings per share :confused:

View more questions Search