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Diluted EPS

Anjaly.P.A ( Article( CA Final)) (221 Points)

16 July 2011

Whether Diluted EPS is to be disclosed for SMC?

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8 Replies

Arvind Sharma (ACA) (1432 Points)
Replied 16 July 2011

Yes, all companies requires... for the same find attached file being ASI 12 for applicability of AS 20...

Attached File : 200449 770107 asi 12.pdf downloaded: 231 times

Anjaly.P.A ( Article( CA Final)) (221 Points)
Replied 16 July 2011

I wanted to know whether Basic EPS & Diluted EPS- Both are to be disclosed.

Arvind Sharma (ACA) (1432 Points)
Replied 16 July 2011

Yes.., both has to be disclosed... even though both are same... It is general practice that I always see in many BSs.....

APOORV SAXENA (Chartered Accountant) (794 Points)
Replied 16 July 2011

A partial exemption has been given to SMC that they are not required to disclose DEPS.

(Guest)

No, Diluted EPS is not required to be disclosed by the SMC's & SME's, otherwise known as Level II & Level III Entities, respectively.

As per Accounting Standard 20, 'Earning Per Share', All Entities are required to shown on the face of P&L A/c :-

1. BEPS

2. DEPS

3. Reconciliation Statement, reconciling the two Ratios - BEPS & DEPS

But, Partial Exemption is available to SMC's & SME's in that they do not need to disclose the DEPS, and therefore the Reconciliation Statement is also not needed. They only need to disclose the BEPS.

Note :- Remember, any of the Partial Exemptions, given in AS - 15/19/20/28/29 is not mandatory to avail. It is up to the Entities to decide whether they want to avail the Exemption or not.