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EARNINGS PER COMMON SHARE

6 五月, 2015 - 17:10

Many corporations issue both debt and equity instruments. When bonds and preferred stock have conversion privileges, two EPS figures should be calculated. The first (called primary EPS) assumes no conversion has taken place, and the other (called fully diluted EPS) assumes all conversion privileges are used. EPS information can be found at the bottom of an income statement. It considers both activities from continuing operations and nonrecurring items.