Which of the following is a component of earnings used in the calculation of basic earnings per

Question:

Which of the following is a component of earnings used in the calculation of basic earnings per share? Give reasons for your answer.
a) Profit before tax expense
b) Preference dividends declared during the period
c) Income tax expense
d) Profit from discontinued operations
e) Prior year paid to holders of cumulative preference shares
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...