Which of the following statements about contingently issuableshares are true? (Select all that apply.)

A) Contingently issuable shares are shares of common stock to beissued, contingent on the occurrence of some futurecircumstance.

B) If contingently issuable shares will be issued at a futuredate if a certain level of income is achieved and that level ofincome or more was already reported this year, those additionalshares are added to the numerator of the diluted EPS fraction.

C) If contingently issuable shares will be issued at a futuredate if a certain level of income is achieved and that level ofincome or more was already reported this year, those additionalshares are added to the denominator of the diluted EPSfraction.

D) When calculating EPS, contingently issuableshares are always considered to be outstanding in thecomputation of diluted EPS.

Answer rating: 100% (QA)

Answer A and C are True Statements regarding Contingently Issuable Shares R... View the full answer