Why are there two earnings per share numbers reported

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Reference no: EM131313422

The following is a table showing the calculation of earnings per share as it appears in the 2009 financial statements of Microsoft Corporation.

514_Table 3.jpg

a. Why are there two earnings per share numbers reported?

b. What does "Basic" mean under "Earnings per share"?

c. What does "Diluted" mean under "Earnings per share"?

d. For all three fiscal years, both earnings per share measures in a given fiscal year are close in value. What does that suggest.

Reference no: EM131313422

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