Question
As at 31 December 20x0 J & SP Ltd. has 3,000,000 ordinary shares on issue, profit for the reporting period then ended attributable to ordinary
As at 31 December 20x0 J & SP Ltd. has 3,000,000 ordinary shares on issue, profit for the reporting period then ended attributable to ordinary shareholders of MU15,850,000 and weighted average number of shares of 100,000 under share option arrangements. The average market price of J & SP Ltd.s shares during the period was MU2 and the exercise price of the shares under option is MU0.75. What is the diluted earnings per share for 31 December 20x0?
Diluted earnings per share for 31 December 20x0 is MU5.18 {MU15,850,000 [3,000,000 + 100,000 - ((100,000 x MU0.75) MU2)]}
Diluted earnings per share for 31 December 20x0 is MU5.59 {MU15,850,000 [3,000,000 + 100,000 - ((100,000 x MU2) MU0.75)]}
Diluted earnings per share for 31 December 20x0 is MU5.11 calculated as follows [MU15,850,000 (3,000,000 + 100,000)]
Diluted earnings per share for 31 December 20x0 is MU5.22, i.e., {MU15,850,000 {3,000,000 - [(100,000 x MU0.75) MU2]}
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started