Which statement is correct?
A)Companies with a simple capital structure must disclose diluted EPS.
B)Companies with a complex capital structure must disclose diluted EPS.
C)Companies with a simple capital structure do not need to disclose basic EPS.
D)Companies with a complex capital structure do not need to disclose diluted EPS.

Question

Quizplus · Accepted Answer

Companies with a complex capital structure are required to disclose both basic and diluted earnings per share (EPS) to show the impact of potential dilution from convertible securities, options, warrants, and other dilutive financial instruments.

Which Statement Is Correct