The wealth of the owners of a corporation is represented by​ ________.
a. earnings per share
b. share value
c. profits
d. cash flow

Respuesta :

Answer:

b. share value

Explanation:

Share value is the amount of money that each owner of the company could access if they sold their shares of the company, depending on how many shares of the company they have then that is their wealth, that is how is represented the wealth of the owners of a corporation by having mulitplying the share value by the amount of shares that they own.

Answer:

Option b share value

The value of a corporation's stock symbolises the wealth of its shareholders. The overall worth of an organisation is computed by multiplying the number of outstanding shares by the current share price.

Explanation:

Option a is incorrect as:

To determine earnings per share, a company's net profit is divided by the number of common shares it has outstanding (EPS). Because it displays how much money a company produces for each share of its stock, EPS is a widely used measure for determining corporate value.

Option c is incorrect as

Profit is made when the money generated from a company activity exceeds the expenses, charges, and taxes associated with maintaining the activity in question.

Option d is incorrect as  

The net total of cash flowing into and out of a company at any one time is referred to as cash flow. A positive or negative cash flow is possible. It is the net cash created to finance the business, which can include debt, stock, and dividend payments.

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