Why this is mistaken
Diluted EPS includes every possible common share. Include only dilutive effects after applying each instrument method, ordering the results, and testing the control number.
Where to watch
When this mistake may appear
- The arithmetic produces a lower per-share amount.
Check your work
Your work may contain this mistake if:
- Accepts the quotient without tracing the numerator, dated shares, instrument method, and antidilution control.