OT ... jonkai, the point is that once you use this newer way of calculating fully Diluted earnings, the use of "Treasury Stock method" no longer shows accurate fully diluted EPS.....
Whoa! You only used the phrase "fully diluted" once in your prior posts .. because Exacctnt did .. and now, all of a sudden, YOUR POINT is that the treasury stock method no longer shows fully diluted EPS? That looks like a diversion to me.
Yes, the "primary EPS" and "fully diluted EPS" terms were dropped with the "release" (in 1997) of FAS 128. These terms were replaced by "basic EPS" and "diluted EPS".
that is why i say that FASB 123 "replaces" the older method..... it replaces the final EPS number....
both show different EPS, the fair Market method, shows the newer and more importantly, the EPS that is reported as earnings..... if FASB 123's option to calculate ESO's in earnings is used.....
This is too vague and confusing for me. FASB SFAS 123 has two general methods. I can't tell which one you are talking about. I could guess you mean the "fair value method", but I won't.
"replacing" the treasury stock method's final number for fully diluted EPS...... the Treasury stock method also is used in "intrisic value method" as it is the default method, that is what the "fair market value method" is "replacing".......
Conflicting statements here. Are you saying the treasury stock method is replaced .. or used?
FAS 123 is titled "Accounting for Stock-Based Compensation". It is not the FASB statement that deals with EPS. That statement is FAS 128 and is titled "Earnings per Share", and is where the treasury stock method can be found.
You should get a copy of both, and read them until you understand them, if you intend to continue to post as if you are an authoritative source.
I stand by my preceding post.
Ron |
