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the difference between eps (earnings per share) and ffo (funds from operations) is the interest deduction. True or False?

Sagot :

The given statement about EPS (  earnings per share) and FFO (funds from operations) is false. They are not interest deduction.

Net operating income is represented by EPS. Taxes and preferred dividends are factored into FFO (funds from operations), which also leverages them. Cash flow is not a factor in FFO. Net income to the number of outstanding shares is expressed as an EPS ratio. As previously indicated, companies may add FFO per share to their EPS.

Net income divided by the number of outstanding equity shares is earnings per share for a business. The amount of income being produced on a per-share basis is measured by EPS and FFO per share. the income per share. The company's profit, which belongs to the common shareholders, is measured in terms of earnings per share.

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