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This has been bugging me for months now, my brain just ain’t taking it in.
Now I know what Diluted EPS is, it’s basically just EPS plus “potential” Common Stock, like what if you converted all convertible shares or warrants or whatever else to Common Stock. And I know the formula for Basic EPS is (Net Income – Pref Dividends) / Weighted Avg Common Shares Outstanding.
But…HOW THE HECK DO YOU CALCULATE DILUTED EPS!?
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