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Assets = Liabilities + equities
therefore equities = Assets - liabilities
If Assets go down Equities reduce in value
Earnings = Equities / Total No. of shares
therefore earnings go down
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∙ 16y ago
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What is a formula of Earning ratio and earning per share?
Price earning ratio = market value per share / Earning per share Earning per share = Net income available to share holders / number of shares outstanding
What is the difference between basic earning per share and adjusted earning per share?
what is the difference between basic earning per and adjusted earning per share?
Is return on equity and return on assets the same thing?
ROE and ROA are both relating to the Income generating efficiency of a business. ROE gives the Income Generating Efficiency of business on the utilization of Share holders' Equity. Where as ROA refers to how efficient management is using its assets to generate earning.
What is the definition of earnings per share?
Earning per share is that per share amount of earning which is only relevant to common share holders of business and calculated as follows: EPS = Net income available to common shareholders / Outstanding shares
What is the limitation of earning per share?
difficult to obtain the exalt number of equity share outstanding
Is diluted earning per share is calculated in case of losses?
Diluted earning per share is only calculated when company has issued some conditional warrants or rights to purchase share to it's employees or other persons.
What is earning per share of bse sensex?
p/e
What does ESP stand for in a company name?
earning per share
What are the differences between earnings per share and dividends per share?
Earning and dividend are two different things that's why they are also different from each other Example: Total Earning in 20xx = 1000 Dividend = 200 Number of shares = 100 Earning per share = 1000/100 = 10 Dividend per share = 200/100 = 2
Transaction for issuing shares in exchange for assets?
[Debit] Assets account [Credit] Share capital account
Shares issued for cash increase assets?
Yes share issue increase current assets as we received cash against share issuance and the general entry is: [Debit] Cash xxxxx [Credit] Share Capital xxxx
How do you calculate assets per share?
Take total assets from the balance sheet and divide it by total number of shares
