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For a Company Having Several Different Issues of Convertible Securities

Question 9

Multiple Choice

For a company having several different issues of convertible securities and/or stock options and warrants,the FASB requires selection of the combination of securities producing


A) the lowest possible earnings per share.
B) the highest possible earnings per share.
C) the earnings per share figure midway between the lowest possible and the highest possible earnings per share.
D) any earnings per share figure between the lowest possible and the highest possible earnings per share.

Correct Answer:

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