Question:Why would a shareholder want to know what diluted EPS as compared to basic EPS? 

A Because it represents what a stock can be sold for currently 
B Because it reduces the stockholder's tax liability 
C Because it will reflect the potential dilution of the value of the company which can be excessive for companies with large numbers of options outstanding 
D Because it represents how well the management is performing in comparison with the past management 

+ Answer
C 

+ Explanation
Answer not sure

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Md. Habib Ullah

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