Question

Libby bought 250 stocks of a company named Xylet last year. Xylet’s total earning for the year is $ 4million and it has 1,000,000 outstanding stocks. What is Xylet’s Earning per share (EPS)?

Answer 1

4

Step-by-step explanation:

PLATO

Answer 2

Given:

250 stocks bought from Xylet
Xylet's total earnings for this year = $ 4 million
Xylet's stocks = 1,000,000

Determine the EPS of Xylet:

$4 million / 1,000,000 = $4 per stock

Libby's total earnings from Xylet stocks = $4 / stock * 250 stocks = $1,000

Therefore, Libby earned $1,000 from Xylet stocks.