When applying the if-converted assumption for potentially diluted securities,conversions are assumed to occur at the ________.

Question

Quizplus · Accepted Answer

The if-converted assumption assumes that the conversion of potentially diluted securities occurs at the beginning of the current year or on the issue date of the dilutive security if issued during the year. This assumes that the dilution occurred throughout the entire year, allowing for more accurate financial reporting.

When Applying the If-Converted Assumption for Potentially Diluted Securities,conversions Are