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In Determining Basic Earnings Per Share,the Annual Dividend on Nonconvertible

Question 91

Multiple Choice

In determining basic earnings per share,the annual dividend on nonconvertible cumulative preferred shares should be:


A) Added back to net income whether declared or not.
B) Disregarded.
C) Deducted from net income only if declared.
D) Deducted from net income whether declared or not.

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