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Earnings per Share (EPS)

Posted by Bill Campbell III, CFA on September 25, 2013
Posted in: Level I Financial Reporting and Analysis.

Calculating earnings per share (EPS) is relatively straightforward: calculate earnings (available to common shareholders), then divide it by the weighted-average number of shares of common stock outstanding (WACSO).  However, there are possibly two EPS calculations that you need to show on an income statement: basic EPS and fully diluted EPS: Basic EPS uses the existing […]

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