One of the most useful metrics in assessing a company's profitability is earnings per share, and it can be calculated from information found on that company's balance sheet and income statement, two ...
Calculating financial ratios is an important component of analyzing a business that can be extremely helpful to business owners. By using the information from your business' financial statements, you ...
One of the most effective ways to compare two businesses is to perform a ratio analysis on each company's financial statements. A ratio analysis looks at various numbers in the financial statements ...
When your company makes a profit, you can issue a dividend to shareholders or keep the money. The profits you keep are called retained earnings. You can use retained earnings to fund working capital, ...
Many investors focus on how much a company pays in dividends. Most companies report their dividends on a cash-flow statement or in a separate accounting summary in their regular disclosures to ...
Written by How to Calculate Earnings Per Share on a Balance Sheet for The Motley Fool -> For example, if a company earned $10 million in 2000 and $20 million in 2010, it may appear that profitability ...