Page 17 - PowerPoint Presentation
P. 17
Earnings Per Share
Shares
Weighted average number of shares
• IAS 33 defines weighted average number of shares as
"the number of ordinary shares outstanding at the
beginning of the period, adjusted by the number of
ordinary shares bought back or issued during the
period multiplied by a time-weighting factor".
• "Shares outstanding" is equivalent to "shares issued"
• The time weighting factor is the number of days that
the specific shares are outstanding as a proportion of
the total number of days in the period. A reasonable
approximation of the weighted average is adequate in
many circumstances.
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