Please please I need help with this question. thanks
For 2010, Fielder Corporation reported net income of $30,000; net sales $400,000; and average share outstanding 6,000. There were no preferred stock dividends. What was the 2010 earnings per share?
a.$4.66
b.$0.20
c.$66.67
d.$5.00
30,000 / 6000 = ?
So its $5.00 dollars, thanks Ms. Sue
You're welcome.
To find the earnings per share (EPS), you need to divide the net income by the average number of shares outstanding.
In this case, the net income is given as $30,000 and the average shares outstanding is given as 6,000.
To calculate the EPS, divide the net income by the average shares outstanding:
EPS = Net Income / Average Shares Outstanding
EPS = $30,000 / 6,000
EPS = $5.00
Therefore, the earnings per share for 2010 is $5.00.
So, the correct answer is d.$5.00