Which of the following statements is true? The measure of earnings used in calculating basic earnings per share:
A)must be determined after deducting dividends paid to ordinary shareholders
B)must exclude all extraordinary items
C)must exclude profit allocated to non-controlling interest
D)is always equal to period profit or loss

Question

Quizplus · Accepted Answer

The measure of earnings used in calculating basic earnings per share must exclude profit allocated to non-controlling interest, as basic earnings per share focuses on the earnings attributable to the ordinary shareholders of the parent company.

Which of the Following Statements Is True? the Measure of Earnings