Earnings per share (EPS) is a figure you will hear discussed a lot on CNBC.
What is the difference between basic and diluted EPS?
If you use a website to answer this question, please summarize your findings and include the hyperlink as your reference. If you use the textbook, please include the page numbers.
Example 1:(Dont Copy paste the same)
Earning per share is the net income less preferred stock dividends divided by the weighted average common shares outstanding for the period (G-4). To investors, an EPS ratio can serve as an important indicator of a company’s operating value.
Basic EPS is calculated by:
Net income – dividends on preferred stock/weighted average of common shares outstanding during the year
Diluted EPS is calculated by:
Net income – preferred dividends) / (weighted average number of shares outstanding + the conversion of any in-the-money options, warrants, and other dilutive securities) (https://corporatefinanceinstitute.com/resources/knowledge/valuation/diluted-eps-formula-calculation/)
Diluted EPS reflects the impact of additional shares that would be issued if all stock options and convertible securities are converted into common shares. Essentially, presuming the most-extreme case (8-24).
We are a professional custom writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework.
Yes. We have posted over our previous orders to display our experience. Since we have done this question before, we can also do it for you. To make sure we do it perfectly, please fill our Order Form. Filling the order form correctly will assist our team in referencing, specifications and future communication.
2. Fill in your paper’s requirements in the "PAPER INFORMATION" section and click “PRICE CALCULATION” at the bottom to calculate your order price.
3. Fill in your paper’s academic level, deadline and the required number of pages from the drop-down menus.
4. Click “FINAL STEP” to enter your registration details and get an account with us for record keeping and then, click on “PROCEED TO CHECKOUT” at the bottom of the page.
5. From there, the payment sections will show, follow the guided payment process and your order will be available for our writing team to work on it.
Need this assignment or any other paper?
Click here and claim 25% off
Discount code SAVE25