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7 Cards in this Set
- Front
- Back
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What is Formula for Basic Earnings per Share? |
NIBT less PREF Dividends Divided by WAOS |
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What is the Formula for Diluted Earnings per Share? |
NI + Bonds INTEREST after tax - PD of Non conv. PS Over WAOS |
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What are the Exceptions in computing the WAOS? |
STOCK SPLIT SHARE DIVIDEND |
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What to remember in Convertions? |
Average potential outstanding shares is based on issuance date of the convertible Preferrence shares or convertible bonds and NOT the conversion date. |
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Exercising Share Options.: How to get the proceeds? |
Exercise price plus Fair Value of Share Options at GRANT DATE is equals to the Adjusted Exercise price multiply by number of Share options |
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Under the stock Options, if the exercise price is GREATER than Average price, therefore it is Anti dilute. What will be the treatment? |
Ignore the stock option conversion in computation |
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In Diluted Earnings per Share, what will be added in WAOS? |
1. Potential Ordinary shares 2. Contingent Ordinary Shares - for example Net income target was achieved so the company will issue shares |
