(b) Brash Co had 100,000 shares in issue, but then makes a 1 for 5 rights issue on October 1, 2002 at a price of $1. The market value on the last day of quotation with rights was $1.60. Calculate the EPS for 2002 and the corresponding figure for 2001 given total earnings of $50,000 in 2002 and $40,000 in 2001

(b) Brash Co had 100,000 shares in issue, but then makes a 1 for 5 rights issue on October 1, 2002 at a price of $1. The market value on the last day of quotation with rights was $1.60. Calculate the EPS for 2002 and the corresponding figure for 2001 given total earnings of $50,000 in 2002 and $40,000 in 2001

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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