Income Statement and Reports Multiple Choice Questions with Answers – PDF Download

MCQ 1: The value of net income is $124,500,000 and the common shares outstanding are 60,000,000 then earnings per share will be:

1. 2.75
2. 0.481
3. 2.075
4. 2.8

MCQ 2: If the common shares outstanding are 50,000,000 and book value per share is $19.92 then the total common equity will be:

1. 996000000
2. 995000000
3. 992000000
4. 991000000

MCQ 3: An income available for shareholders after deducting expenses and taxes from revenues is classified as:

1. net income
2. net earnings
3. net expenses
4. net revenues

MCQ 4: The collection of net income, amortization and depreciation is divided by common shares outstanding to calculate:

1. cash flow of financing activities
2. cash flow per share
3. cash flow of investment
4. cash flow of operations

MCQ 5: The dividends paid to common shareholders and divided by common shares outstanding are equals to:

1. earnings per share
2. dividends per share
3. book value of share
4. market value of shares