In What Situation Would a Company Have to Calculate and Report

Multiple Choice

In what situation would a company have to calculate and report diluted EPS on the financial statements?

A) a company that has both convertible preferred and common shares issued and outstanding
B) a company whose common shares' fair market value has dropped 20% from the prior financial statement reporting period
C) a company that has both nonconvertible preferred and common shares issued and outstanding
D) a company that has only common shares issued and outstanding