To: jonkai who wrote (71140 ) 7/15/2002 2:05:44 AM From: The Duke of URLĀ© Read Replies (2) | Respond to of 74651 "and he says that Diluted EPS do not take into consideration nearly enough of the options that are exercisable to show a true accounting of those options..... (when companies use the very lax standards of the GAAP) Coke on the other hand will start showing proper Diluted EPS, as does Boeing....." I am not sure what method MS uses, but there is enough for me to Eyeball it. Do you know what method MS uses, oh great masked accountant from the west, who with his faithful indian campanion, tonto... AND, Warren is a god, the best, but it is to be noted that brk is still what 30% off its highs and ms is about 50% WHILE STILL UNDER INDICTMENT FROM MCNEALY AND ELLISON, if ya catch ma drift. Which aint that bad. AND, here I will type very slowly so that even you can understand. I studied this stuff with the people who explained it to the people who explained to the people that let you read their articles in you newspaper. Stock options are not, (forgive me Warren) an expense. CAN YOU UNDERSTAND THAT??? THEY DO NOT COST THE COMPANY ANY MONEY!!!!! They effect outstanding stock by diluting it, and they effect retained earnings when the option is execrcised by affecting what is called the "Paid-In Capital Account". That account is where dillution is kept track of. The present law WHICH HAS BEEN THE LAW FOR FOURTY YEARS, provides that: "proper adjustment shall be made to retained earnings" . And here I am going to type very slowly. They are, and anyone who can read a balance sheet, understands this. Your BITCH is against the Brokerage house that told you to buy a company who does not under stand what I just typed. They were making 10 Billion a year in commissions. They could afford someone to read the balance sheet. Ya think??? Warren is not wrong, but you must understand what he is saying. He is saying PUT IT IN ENGLISH!!!!! so that everyone will understand. He is totally cool. And in answer to your question, if all companies are required to do this, ms will rank in the top five companies in the world in terms of "profitablity" as you would like to define it, and if the DOJ thingy ends, the stock will go through the roofsky. BTW How's that Redhat you bought at 50 doing???