Buscar
Estás en modo de exploración. debe iniciar sesión para usar MEMORY

   Inicia sesión para empezar

level: Earnings Per Share

Questions and Answers List

level questions: Earnings Per Share

QuestionAnswer
Basic EPS Equation(NI - *Preferred Dividends)/WACSO
Non-cumulative DividendsFocus on the declared dividends ONLY
Cumulative DividendsAll accumulated dividends (regardless of if declared)
How are dividends and stock splits treated in calculation for WACSO?Treat them as if they occurred at the beginning of the earliest period presented.
How are convertible bonds treated when calculating Diluted EPS?"If-Converted" Method: Only affects EPS if dilutive. Numerator changes to NI + Int Earned (Net of Tax) Denominator adds # CS convertable
How are options and warrants treated when calculating Diluted EPS?"Treasury Stock" Method: If Avg Price > Excersize Price = Dilutive Only Affects denominator # Options - ((# options*excersize price)/avg price)