Question:

Diluted EPS?

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I'm doing homework, and I was fine until I got to diluted EPS. I get very confused, and I'm not even sure where to start. I'm given the number of shares, Option $ per share, proceeds, average $ per share, Treasury Share Equivalent of proceeds, Excess (Incremental Denominator Effect) ,Per share effect, Per share effect of the 7% convertible debentures, Interest Expense, Interest expense avoided (tax shield), Number of shares assuming conversion, and Per share effect. I need to calculate diluted EPS. All the info I'm given is quite overwhelming. How do I use the given info to find the diluted EPS?

Thanks.

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3 ANSWERS


  1. How to Find Stocks Which Will Double http://www.stocktopper.com


  2. Read the text and the homework again. You must already have studied Earnings per share and the various factors to consider when calculating the earnings dilution.  Been too long ago for me to recalculate an answer. So put the grey cells to work.

  3. Maybe,total earnings divides by the total number of all stocks(including escrowed stocks and options)
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