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Topic: Business
Number of pages / Number of words: 4 / 1092
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There are many ratios an investor can look at before determining if it is worth investing in a particular company. For instance, an important ratio is the earnings per share (EPS) on common stock. This ratio is computed by taking a company’s net income and dividing it by shares of stock outstanding...


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For instance, an important ratio is the earnings per share (EPS) on common stock. This ratio is computed by taking a company’s net income and dividing it by shares of stock outstanding. Another important ratio is the price earnings (P/E) ratio is an indicator of a company’s future earnings prospects...


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