Question
(a) What is the purpose of computing the diluted EPS? (b) Why is the anti-dilution test necessary when there are potential ordinary shares? (c) When
(a) What is the purpose of computing the diluted EPS?
(b) Why is the anti-dilution test necessary when there are potential ordinary shares?
(c) When we compute the diluted EPS, why do we assume the conversion of all dilutive potential ordinary shares instead of all potential ordinary shares?
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Financial and managerial accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
1st edition
ISBN: 111800423X, 9781118233443, 1118016114, 9781118004234, 1118233441, 978-1118016114
