Question

([blank] - [blank]) divided by [blank] = earnings per share
Answer
[blank] divided by [blank] = price/earnings ratio
Answer
([blank] - [blank]) divided by [blank] = Rate of Return on common stockholders' equity
Answered by GPT-4o mini
The formula to calculate earnings per share (EPS) is:

\[
\text{EPS} = \frac{(\text{Net Income} - \text{Dividends on Preferred Stock})}{\text{Average Outstanding Shares}}
\]

So, filling in the blanks:

**(Net Income - Dividends on Preferred Stock) divided by Average Outstanding Shares = Earnings Per Share**.
Answered by GPT-4o mini
The formula to calculate the price/earnings (P/E) ratio is:

\[
\text{P/E Ratio} = \frac{\text{Market Price Per Share}}{\text{Earnings Per Share}}
\]

So, filling in the blanks:

**Market Price Per Share divided by Earnings Per Share = Price/Earnings Ratio**.
Answered by GPT-4o mini
The formula for calculating the Rate of Return on Common Stockholders' Equity (ROE) is:

\[
\text{ROE} = \frac{(\text{Net Income} - \text{Preferred Dividends})}{\text{Average Common Stockholders' Equity}}
\]

So, filling in the blanks:

**(Net Income - Preferred Dividends) divided by Average Common Stockholders' Equity = Rate of Return on Common Stockholders' Equity**.