(a) Fenton had 5,000,000 ordinary shares in issue on 1 January 20X1.
On 31 January 20X1, the company made a rights issue of 1 for 4 at $1.75. The cum rights price was $2 per share.
On 30 June 20X1, the company made an issue at full market price of 125,000 shares.
Finally, on 30 November 20X1, the company made a 1 for 10 bonus issue.
Profit for the year was $2,900,000.
The reported EPS for year ended 31 December 20X0 was 46.4c.
Required
What was the earnings per share figure for year ended 31 December 20X1 and the restated EPS for year ended 31 December 20X0?
(b) Sinbad had the same 10 million ordinary shares in issue on both 1 January 20X1 and 31 December 20X1. On 1 January 20X1 the company issued 1,200,000 $1 units of 5% convertible loan stock. Each unit of stock is convertible into 4 ordinary shares on 1 January 20X9 at the option of the holder. The following is an extract from Sinbad's statement of profit or loss for the year ended 31 December 20X1.
|
Profit before interest and tax
Interest payable on 5% convertible loan stock
Profit before tax
Income tax expense (at 30%)
Profit for the year
|
$'000
980
(60)
920
(276)
644
|
Required
What was the basic and diluted earnings per share for the year ended 31 December 20X1?
(c) Talbot has in issue 5,000,000 50c ordinary shares throughout 20X3.
During 20X1 the company had given certain senior executives options over 400,000 shares exercisable at $1.10 at any time after 31 May 20X4. None were exercised during 20X3. The average market value of one ordinary share during the period was $1.60. Talbot had made a profit after tax of $540,000 in 20X3.
Required
What is the basic and diluted earnings per share for the year ended 31 December 20X3?