BU397 Lecture Notes - Lecture 13: Debenture, Treasury Stock, Net Income
Document Summary
Impact of other financial instruments on their potential earnings (diluted eps: eps calculation, eps= If diluted eps data are reported for at least one period, they should be reported for all periods that are presented, even if they are the same as basic. If you report diluted eps in one year, then you must report eps for all periods. If both are the same, you must still show them as being equal, like so: basic eps, diluted eps: Income statement presentation of eps components: earnings per share: . 35: eps presentation, with discontinued operations and complex capital structure, basic earnings per share: If the preferred shares are non-cumulative: deduct only declared dividends. If the preferred shares are cumulative: deduct only declared dividends, or. If (cid:374)o di(cid:448)ide(cid:374)ds de(cid:272)la(cid:396)ed, dedu(cid:272)t o(cid:374)l(cid:455) o(cid:374)e (cid:455)ea(cid:396)"s di(cid:448)ide(cid:374)ds: will al(cid:449)a(cid:455)s su(cid:271)t(cid:396)a(cid:272)t one (cid:455)ea(cid:396)"s (cid:449)o(cid:396)th of di(cid:448)ide(cid:374)ds: even if the di(cid:448)ide(cid:374)ds a(cid:396)e 5 (cid:455)ea(cid:396)s i(cid:374) a(cid:396)(cid:396)ea(cid:396)s, (cid:449)e still su(cid:271)t(cid:396)a(cid:272)t (cid:1005) (cid:455)ea(cid:396)"s di(cid:448)ide(cid:374)ds.
