What if the actual conversion or exercise take place ?

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    Topic
  • February 13, 2016 at 12:29 am #200067
    jicheng
    Participant

    Hi, I am confused of a question.

    If actual conversion of convertible bonds and actual excise of a option take place in Y1, June 30. Does it effect the calculation of the basic EPS and diluted EPS calculation?

    For example,

    On June 30, the convertible bonds converted into 800 common shares, the net income for Y1 is 8000. The common stock outstanding at year beginning is 1000. The interest after tax the CB charged for whole year is 500.

    Really appreciate your answers!

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