When a company buy back its own shares it can have a higher EPS that is Earnings Per Share.
<h3>What is Earnings?</h3>
Earnings are the revenue that is earned by a company by selling its goods and services to the customer. A company generates revenue and this is the sole reason why a company exists, the expenses incurred by the company and borne by the revenue and it is recommended that the expenses are lower than the revenue generated.
Earnings per share can be boosted easily by buying back company shares, a company can buy back its own shares and this is known as treasury shares. However the shares are then no more in the market and thus the shares held by the investors decrease and so the EPS increase.
Earnings are divided by the number of shares in the market and if it is divided by a lower number the EPS is boosted easily.
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Answer:
ltem of important must be shown separately
what is that GAAP
Answer:
Total savings= $2,468.7
Explanation:
Giving the following information:
Suenette plans to save $600 at the end of Year 1, $800 at the end of Year 2, and $1,000 at the end of Year 3.
Annual rate= 3.4%
To calculate the final value of the investment, we need to apply the following formula to each deposit:
FV= PV*(1+i)^n
Deposit 1= 600*1.034^2= 641.50
Deposit 2= 800*1.034= 827.2
Deposit 3= 1,000
Total= $2,468.7
Answer:
(Decrease, Increase)
Explanation:
When the government formulates and implements policies aimed at increasing equality, the society will experience a reduction in the level of efficiency. For example, an increase in income tax on wealthiest Americans, and redistribution of the tax revenue to the poorest Americans would may discourage the wealthy from taking more income-generating activities which create jobs, this is not optimal. At the same time, this policy would reduces the peoples’ incentive to work hard to earn their own money.
Answer:
the cost of the merchandise sold for November if the company uses LIFO is c. $590
Explanation:
LIFO Inventory System sells the Inventory recently acquired first followed by the Older Inventory Acquired.
<u>Cost of the merchandise sold for November - Calculation</u>
November 4 : 10 units × $19 =$190
November 17 : 20 units × $20 =$400
Total =$590