https://www.taxtmi.com/forum/issue?id=111040 The computation question concerns basic and diluted EPS for FY 2015-16: opening shares 100,000; 20,000 fully convertible 10% debentures (2 shares per debenture); 5,000 debentures converted in June 2015 into 10,000 shares; 15,000 debentures unconverted at year end; net profit after tax 500,000 after charging debenture interest 16,250. Basic EPS uses net profit divided by weighted average equity shares. Diluted EPS adjusts numerator by adding back after tax interest saved on assumed conversion and adjusts denominator to include shares issuable on conversion; precise timing and assumptions affect results. en-us Tue, 18 Oct 2016 15:28:50 +0530 Thu, 23 Jan 2025 15:56:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=111040 The computation question concerns basic and diluted EPS for FY 2015-16: opening shares 100,000; 20,000 fully convertible 10% debentures (2 shares per debenture); 5,000 debentures converted in June 2015 into 10,000 shares; 15,000 debentures unconverted at year end; net profit after tax 500,000 after charging debenture interest 16,250. Basic EPS uses net profit divided by weighted average equity shares. Diluted EPS adjusts numerator by adding back after tax interest saved on assumed conversion and adjusts denominator to include shares issuable on conversion; precise timing and assumptions affect results. Discussion-Forum Companies Law Tue, 18 Oct 2016 15:28:50 +0530 https://www.taxtmi.com/forum/issue?id=111040