Question

Companies whose stock is traded in a public market must report EPS in the notes of their financial statements. must report EPS on their income statement. must report EPS on their balance sheet. are not required to report EPS.

Answer 1

The answer is B. must report EPS on their income statement

Step-by-step explanation:

If a company's share is being traded publicly, its Earnings Per Share (EPS) must be shown on its income statement(Statement of profit or loss and other comprehensive income).

Earnings Per Share (EPS) is calculated as follows:

Earnings (profit after tax) ÷ total number of shares outstanding.

Note: EPS does not recognize/consider discontinue operations.