Multiple Choice
How do outstanding subsidiary stock warrants affect the calculation of consolidated earnings per share?
A) They will be included in both basic and diluted earnings per share if they are dilutive.
B) They will only be included in diluted earnings per share if they are dilutive.
C) They will only be included in basic earnings per share if they are dilutive.
D) Only the warrants owned by the parent company affect consolidated earnings per share.
E) Because the warrants are for subsidiary shares, there will be no effect on consolidated earnings per share.
Correct Answer:

Verified
Correct Answer:
Verified
Q37: On January 1, 2021, Rhodes Co. owned
Q38: If a subsidiary issues a stock dividend,
Q39: What are the primary sources of information
Q40: If a subsidiary re-acquires its outstanding shares
Q41: On January 1, 2021, Nichols Company acquired
Q43: Wolff corporation owns 70% of the outstanding
Q44: Where do dividends paid to the noncontrolling
Q45: Which of the following characteristics is not
Q46: What condition(s) qualify an entity as a
Q47: Webb Company purchased 90% of Jones Company