a

Facebook

Twitter

Copyright 2021 TheProReaders.
All Rights Reserved.

Facebook

Twitter

LinkedIn

Youtube

Menu
 

Accounting

The Pro Readers > Accounting

Events After Reporting Period (IAS 10)

    Events after Reporting Period  Events that occurs after the end of reporting period but before the authorization of financial statements are called events after reporting period. These events may or may not in in the favor of an entity. [embed]https://youtu.be/jr_OFMNl1c0[/embed] [embed]https://youtu.be/MgH-JL5v_nU[/embed] Type of Events There are two types of events: 1) Adjusting events after reporting period: There are circumstances that give evidence of condition that existed at the reporting period. 2) Non-adjusting events after reporting period: There are circumstances that give indication of conditions that arose after reporting period. Reporting Periods Reporting periods are quarter end, half year end and financial year end dates. Financial Statement Authorization Date An entity issues...

Continue reading

Earnings per Share (EPS)

    Earnings per Share (EPS) – International Accounting Standards (IAS) 33   Earnings per Share (EPS) is an important concept of accounting. In this article we are covering below topics of EPS; Basic concept and formula of EPS Preference Shares treatment Issue of new shares Bonus Issue   Basic Concept and formula of earnings per share The rules for calculating Earnings per Share are defined in IAS 33. It is very easy concept. The profit is adjusted with few items is divided by weighted average number of shares in the particular period. What Earnings shall be taken?  Earnings is the profit after deducting taxation (PAT).   Preference Shares: EPS is a measure...

Continue reading

Diluted Earnings per Share (EPS) – IAS 33

  Diluted earnings per Share (EPS) is an important concept of accounting. In this article we are covering below topics of diluted EPS; Meaning of Dilution Convertible shares and convertible bonds Options and Warrants Employee share options   Basic Concept of Diluted EPS Dilution means reduction in strength. A company issues convertible shares / bonds, options and warrants which increases the share capital of the company and reduces earning per share hence dilution. Diluted EPS is calculated by adjusting earnings of the company and also its number of shares. Earnings are adjusted because interest or dividend shall no longer be paid upon conversion of shares...

Continue reading