On January 2015, ABC had 5 million RM 1 ordinary shares in issue. On 1 March 2015, ABC made a 1 for every 2 bonus issue from the share premium account. On 1 August 2015, ABC issued 3 million RM 1 ordinary shares for RM 4.10 each at full market price. The profit after tex for the year ended 31 December 2015 is RM 3.8 million. The basic EPS for the year ended 31 December 2014 is 48.2 sen.   At January 2015, the ordinary shareholders of ABC held options to purchase 1 million RM 1 ordinary shares at RM 3.10 per share. The options are exercisable between 1 January 2017 and 31 December 2018. The average market value of one RM 1 ordinary share of ABC for the year ended 31 December 2015 was RM 4. a) Calculate the basic EPS of ABC for the year ended 31 December 2015, including the comparative figure. b) Calculate the diluted EPS of ABC for the year ended 31 December 2015.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 2015, ABC had 5 million RM 1 ordinary shares in issue. On 1 March 2015, ABC made a 1 for every 2 bonus issue from the share premium account. On 1 August 2015, ABC issued 3 million RM 1 ordinary shares for RM 4.10 each at full market price.

The profit after tex for the year ended 31 December 2015 is RM 3.8 million.

The basic EPS for the year ended 31 December 2014 is 48.2 sen.

 

At January 2015, the ordinary shareholders of ABC held options to purchase 1 million RM 1 ordinary shares at RM 3.10 per share. The options are exercisable between 1 January 2017 and 31 December 2018. The average market value of one RM 1 ordinary share of ABC for the year ended 31 December 2015 was RM 4.

a) Calculate the basic EPS of ABC for the year ended 31 December 2015, including the comparative figure.

b) Calculate the diluted EPS of ABC for the year ended 31 December 2015.

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