When a Company with a Complex Capital Structure Has a Loss

question 72

Multiple Choice

When a company with a complex capital structure has a loss from continuing operations and potentially dilutive securities,the calculation of earning per share (EPS) results in

• A) simple EPS (no potentially dilutive securities are included in the calculation).
• B) no EPS being reported.
• C) EPS being reported,using the same calculation of dilutive EPS as would be used if net income were positive.
• D) EPS being reported,using securities in the calculation of dilutive EPS that would be anti-dilutive if income were positive.

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Definitions:

Mitosis

A type of cell division in eukaryotic cells that results in two genetically identical daughter cells from a single parent cell.

Genetically Male

A biological term referring to individuals with an XY chromosome pair, which typically, but not exclusively, correlates with being male in terms of sex assignment at birth.

X Chromosome

One of the two chromosomes that determine sex; in females, both members of the 23rd pair of chromosomes are X, and in males, one member of the 23rd pair is X.

Y Chromosome

The sex chromosome found in mammals, including humans, typically present in males, who possess one X and one Y chromosome, influencing the development of male sexual characteristics.