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Chapter 14

Earnings per share

Outcome

By the end of this session you should be able to:

 calculate the earnings per share (EPS) in accordance with relevant accounting
standards, dealing with

– full market value issues

– bonus issues

– rights issues

 explain the relevance of the diluted earnings per share (DEPS) and calculate
the DEPS involving convertible debt and share options (warrants)

and answer questions relating to these areas.

The underpinning detail for this Chapter in your Integrated Workbook can
be found in Chapter 14 of your Study Text

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