What is the formula for earnings per shares? 9. In general, what is the difference between basic and diluted earnings per share? 10. How do you calculate weighted-average shares outstanding for both basic and diluted EPS? 11. What changes in the diluted EPS calculation in: a. Numerator b. Denominator i. Understand the treasury stock method ii. Understand how you treat awards that are not outstanding for the entire year IF CONVERTED METHOD: Notes on how preferred stock and convertible debt affect EPS (this note is not about stock options!): Basic Numerator: Preferred dividends are always deducted from net income (regardless of whether or not the preferred stock is convertible). Interest

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The formula for earnings per share EPS is textEPS fractextNet Income textPreferred DividendsWeighted ... View the full answer