The ratio that uses weighted average common shares outstanding in the denominator is the

A) price-earnings ratio.
B) return on common stockholders' equity.
C) earnings per share.
D) payout ratio.

Earnings per Share

A financial metric that indicates how much profit a company makes for each share of its stock, calculated as net income divided by the number of outstanding shares.

Weighted Average

A calculation that takes into account the varying degrees of importance of the numbers in a dataset, often used in inventory valuation.