Chapter 11 depreciation, impairments, and depletion chapter 12 intangibles assets chapter current liabilities, provisions, and contingencies chapter 14 noncurrent liabilities chapter 15 equity chapter 16 dilutive securities and earnings per share chapter 17 investments chapter 18 revenue recognition. A free powerpoint ppt presentation displayed as a flash slide show on id. Bob anderson, ucsb 2004 161 dilutive securities and earnings per share chapter 16 bob anderson, 2004 162 6a refresher eps earnings. The likelihood of conversion or exercise of antidilutive securities is considered remote. There also several financial ratios like the dilutive earnings per share that track the effect of these securities. These books contain exercises and tutorials to improve your practical skills, at all levels. Dilutive securities and earnings per share ppt video. Starting with the most dilutive, earnings per share is reduced until one of the securities maintains or increases earnings per share. Ppt earnings per share eps powerpoint presentation free. Dilutive securities example of how dilution impacts. The computation of earnings per share includes the current conversion ratios for convertible securities and stock options, adjusted proportionally for stock dividends or stock splits. Convertible bonds can be converted into other corporate securities during some specified time period after. As you can see, there are many different types of securities that can affect the number of outstanding shares of common stock.
Ppt intermediate accounting 2nd edition weygandt, kimmel. Get the knowledge you need in order to pass your classes and more. View notes chapter 16 dilutive securities and earnings per share from acc 5115 at wayne state university. Gripping ifrs earnings per share 695 chapter 23 redemption of a share involves the company returning the capital invested by the shareholder to this shareholder at some stage in the future. Chapter 16 dilutive securities and earnings per share ifrs questions are available at the end of this chapter. Reporting additional payment to encourage conversion. In this topic, we discuss the accounting for these dilutive securities and stockbased compensation plans. The only potentially dilutive securities outstanding were. Earnings per share being in existence for some years, questions on how to apply. Chapter 16 dilutive securities and earnings per share assignment. Dilutive securities and earnings per share free download as pdf file. Acces pdf intermediate accounting ii solutions never bother not to locate what you need.
Ifrs questions are available at the end of this chapter. Start studying chapter 16 dilutive securities and earnings per share key terms. Dilutive securities and earnings per share chapter 17. A dilutive security is any type of investment security that has the potential to increase the number of common shares outstanding. The fifteenth edition builds on this legacy through new innovative student focused pedagogy in the book itself and with online support. Download as doc, pdf, txt or read online from scribd. Dilutive securities and earnings per share chapter 16 dilutive securities and earnings per share ifrs questions are available at the end of this chapter. Of or relating to the conversion of convertible securities into common stock when such conversion would result in an increase in diluted earnings per share or a decrease in diluted loss per share. Read this essay on dilutive securities and earnings per share multiple choice. This is part 3 of 4 related to the earnings per share discussion in chapter 16 of the text. Dilutive securities and earnings per share ppt download.
Dilutive securities and earnings per share earnings per. The adobe flash plugin is needed to view this content. Discuss the reasons that earnings per share eps figures are so closely watched. My fundamentals of physics 8th edition textbook solutions. Ppt earnings per share eps powerpoint presentation. International financial reporting standards ifrs for the. Download ebook wiley plus chapter 16 solutions wiley plus chapter 16 solutions chapter 16. Current liabilities, provision, and contingencies chapter 14.
Describe the accounting for the issuance, conversion. Upholding industry standards, this edition incorporates new data analytics content and uptodate coverage of leases, revenue recognition, financial instruments, and us gaap ifrs. Antidilutive securities are those that, upon conversion or exercise, increase earnings per share or reduce loss per share. This repayment could be set at a premium profit to the shareholder or at a. Come browse our large digital warehouse of free sample essays. The computation of earnings per share business libretexts. Description multiple choicedilutive securities, conceptual. Upon exercise, they may reduce dilute earnings per share. Powerpoint intermediate accounting 3e ifrs edition by. Diluted eps shows the maximum potential adverse effect on eps if.
Chapter current liabilities and contingencies solutions. Dilutive securities and earnings per share after studying this chapter, you should be able to. When an increase in earnings per share occurs, the security that causes the increase in earnings per share is excluded. Intermediate accounting ifrs edition kieso, weygandt, and warfield. Depreciation, impairments, and depletion chapter 12.
Describe the accounting for the issuance, conversion, and retirement of. Download our chapter 16 dilutive securities and earnings per share ebooks for free and learn more about chapter 16 dilutive securities and earnings per share. Ch 16 intermediate accounting solutions chapter 16. Chapter 16 dilutive securities and earnings per share truefalse dilutive securities conceptual answer no. Pdf solutions financial accounting dilutive securities. Securities such as convertible debt or stock options are dilutive because their features indicate that the holders of the securities can become common shareholders. Identify the informational benefit provided by diluted eps. Additionally, the impact of dilutive securities and stockbased compensation plans on earnings per share is also discussed in this topic.
Describe the accounting for the issuance, conversion, and retirement of convertible securities. Chapter 16 dilutive securities and earnings per share 163 conversion of bonds at maturity. Sekuritas dilutif dan laba per lembar saham dan laba per lembar saham chapter 16 intermediate accounting. Dilutive securities and eps chapter 16 share and discover. Test bank with answers intermediate accounting 12e by kieso. When the common shares are issued, there will be a reductiondilutionin earnings per share. Dilutive securities and earnings per share multiple choice. In other words, its any securities that can be turned into common stock. Download ebook advanced accounting chapter 16 solutions advanced accounting chapter 16 solutions chapter 16.
Chapter 16 dilutive securities and earnings per share 163. Chapter 16 dilutive securities and earnings per share learning objectives after studying this chapter, you should be able to. Jan 01, 2011 chapter 16 dilutive securities and earnings per share 163 conversion of bonds at maturity. Chapter 6 dilutive securities and earnings per share 16. For instructor use only 161 chapter 16 dilutive securities and earnings per share assignment classificationtable by topic topics questions brief exercises exercises problems concepts for. Kieso, weygandt and warfields intermediate accounting continues to set the standard for intermediate accounting students and professionals in the field.
Dilutive securities convertible securities, options, warrants i. Dilutive securities and earnings per share flashcards from ibrahim n. Pdf download solutions to chapter 16 kieso fifteenth edition intermediate accounting. Ch16 dilutive securities and earnings per share free download as word doc. Dilutive securities example of how dilution impacts share. This topic is dealt with in an appendix to the chapter. Chapter 16 dilutive securities and earnings per share truefalsedilutive securitiesconceptual answer no. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Earnings per share eps rcj chapter 15 836842 key issues basic eps weighted average common shares pecking order treasury stock transactions dilution diluted eps. Powerpoint intermediate accounting 3e ifrs edition by kieso. Prepared by coby harmon, university of california, santa barbara learning objectives 1. Chapter 16 dilutive securities and earnings per share key.
Chapter 16, intermediate accounting ii recorded lecture adapted from kiesos intermediate accounting text and wiley instructor materials. A capital structure that includes securities that could have a dilutive effect on earnings per common share. Describe the accounting for the issuance, conversion, and retirement of convertible selection from intermediate accounting, 15th edition book. For instructor use only 16 1 chapter 16 dilutive securities and earnings per share assignment classificationtable by topic topics questions brief exercises exercises problems concepts for analysis 1.
If the bonds are converted at maturity, roche makes the following entry. Acquisition and disposition of property, plant, and equipment chapter 11. Chapter 6 dilutive securities and earnings per share 16 1. For example, it is an antidilutive conversion if outstanding warrants are assumed to be exercised in order to acquire shares of common stock at a. We as come up with the money for hundreds of the books collections from pass to the further. Dilutive securities and 16 earnings per share 1614 convertible preferred stock includes an option for the holder to convert preferred shares into a fixed number of common shares. Dilutive securities and earnings per share powerpoint slides.
Download file pdf intermediate accounting chapter 16 for income taxes solutions intermediate accounting 2, chapter 16 dilutive securities and earnings per share intermediate accounting chapter 16 flashcards and study. The previous computation therefore provided the maximum dilution. Chapter 16 dilutive securities and earnings per share 16. Ppt earnings per share eps powerpoint presentation free to download id. Explain the accounting for convertible preferred stock. Apr 24, 2011 dilutive securities and eps chapter 16 1. Ch16 kieso intermediate accounting solution manual slideshare. Diluted eps shows the maximum potential adverse effect on eps if dilutive securities are converted to common stock.
Chapter 16 dilutive securities and earnings per share true. Description multiple choice dilutive securities, conceptual. The idea is that if a security increases the outstanding shares it will dilute the current shareholders stake in the company as. Dilutive securities and earnings per share checklist of key figures. Intermediate accounting chapter 16 for income taxes solutions. Dilution can be caused due to a number of dilutive securities such as stock options stock option a stock option is a contract between two parties which gives the buyer the right to buy or sell underlying stocks at a predetermined price and within a specified time period. Share premiumconversion equity 194,384 bonds payable 2,000,000 share capitalordinary 500,000 share premiumordinary 1,694,384 to record the conversion of bonds at maturity.
Prepared by coby harmon, university of california, santa barbara. Chapter 16 solution manual finance fin300 neu studocu. A seller of the stock option is called an option writer, where the seller is. Dilutive securities and earnings per share dilutive securities and compensation. Intermediate accounting, 17th editionis written by industry thought leaders, kieso, weygandt, and warfield and is developed around one simple proposition. Chapter 16 work together 161 this screen recording demonstrates how to journalize adjusting entries.
The fifteenth edition builds on this legacy through new innovative selection from intermediate accounting, 15th edition book. Classified as part of stockholders equity, unless mandatory redemption exists. No theoretical justification for recognizing a gain or loss when exercised. Nov 08, 2018 starting with the most dilutive, earnings per share is reduced until one of the securities maintains or increases earnings per share. Sep 18, 2017 chapter current liabilities, provisions, and contingencies chapter 14 noncurrent liabilities chapter 15 equity chapter 16 dilutive securities and earnings per share chapter 17 investments chapter 18 revenue recognition chapter 19 accounting for income taxes chapter 20 accounting for pensions and post.
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