1 - Do some research and find a full-text article in an accounting journal on earning per share. Give a brief summary of the article and state if you agree or disagree with the author. Make sure to note your sources in APA format and include a complete library website or document number.

PLEASE FIND BELOW THE ARTICLE:

The present paper is an endeavour to know if there is any significant relationship between the operating activities and financing activities information derived from the cash flow statement (CFS) and market price per share (MPPS) or stock prices, focusing on Nifty Pharma Index companies listed on National Stock Exchange (NSE) India, for the period 2010 to 2016. The data has been collected from the Prowess Database of CMIE and is statistically analysed using the software e-views (Version 9.5). The statistical analyses concluded that the cash flow from operating activities has a positive and significant relationship between market price per share of Nifty Pharma Index companies. Keywords: Cash Flow Statement, Operating Activities, Financial Activities and Market Price per Share. INTRODUCTION As per the Companies Act and Securities Exchange Board of India (SEBI), it is a mandatory requirement for all the registered companies to publish their financial statements to the different stakeholders. These financial statements give different financial information through the profit and loss account, balance sheet and cash flow statement. Based on the financial information available, the decision of investors is reflected in the stock movement. A stock price is also known as market price per share. After investing, it is the right of the investor to know how his/her investment is being utilized. Financial information is the ability of accounting numbers which are impacting the equity share price of listed companies. Accounting information is defined as "value relevant if it has a predicted association with equity market values, i.e. stock returns (Sharma et al., 2012)". Holthausen and Watts (2001) consider "an accounting number to be value relevant if it is useful in explaining value or returns over a long duration." Financial statements of listed companies are a tool to communicate to the investors, the general public and other stakeholders. Several studies have been conducted to know the impact of accounting variables like Dividend per share (DPS), Earnings per share (EPS), Book value per share (BVPS) and Cash flow on market price per share. Those studies have proved that earnings and book values are considered more value relevant for firm's valuations than cash flows, as cash flows usually have severe matching and timing issues (Ohlson, 1995: and Barth et al., 1998). This observable fact is known as value relevance. This present paper aims to judge if an investor gives due importance to the financial information presented by listed companies in their financial statements, especially cash flow statement. The presence of cash in a business can be seen as cash flow. According to the Statement of Financial Standards No 2, paragraph 05, cash flows are inflows and outflows of cash and cash equivalents. REVIEW OF LITERATURE Barth, Beaver, and Landsman (2001) state: "Value relevance research examines the association between accounting amounts and equity values." Beisland (2009) defines value relevance as "the ability of financial statement information to capture and summaries information that determines the firm's value." Perera and Thrikawala (2010), "has made the empirical research on the relevance of accounting information on the investor's decisions in commercial banks registered under the Colombo stock exchange (CSE) in Sri Lanka. The correlation coefficient study was for five years from 2006 to 2009 on accounting data market price per share (MPPS), earnings per share (EPS), Return on Equity (ROE) and Earning Yield (EY). It shows that there is a relationship between accounting variables and stock return". Vijith P and Nimalathasan (2014) "examined the value relevance of accounting information such as earning per share, net assets value per share, price earnings ratio to share prices, return on equity of manufacturing companies of Colombo stock exchange applying correlation and ANOVA and proved value relevance of accounting information is most significantly correlated with share price". Remon Gunanta, Early Sherita, Suci Fuji Lestari (2015) State: the statement of cash flows and earnings per share on stock prices has a significant influence on stock prices in manufacturing companies listed on the Indonesia Stock Exchange. Geetanjali Purswani and Anuradha P S (2017) "investigated the value relevance of accounting information such as book value per share, earning per share, , dividend per share, price to book value, cash flow from operating activities, net worth and assets turnover ratio have a significantly positive relation on the share price of construction contract of real estate companies listed on Bombay stock exchange" . OBJECTIVES OF THE STUDY The primary objective of this study is to test the relationship between cash flow information, i.e. operating activities, investing activities, financing activities and the market price of the share.