Homeshopper Ltd is a food retailer that has retail outlets in Johannesburg and on the East Rand and West Rand. The company plans to replace all its current refrigerated display cabinets with more energy efficient display cabinets. This project requires R5 200000 , and a decision was taken to raise the capital from a rights issue. The company's current share price is 3.50 per share. An economic climate and market trends analysis convinced management that the company can achieve a return of 20% on capital employed. The company's current capital structure is as follows: The company is considering the following possible rights issue prices: - R2.20 - R2.00 - R1.80 Required: Calculate the number of new shares that the company will have to issue at each rights issue price, the effect that each of the rights issue prices will have on the current earnings per share (EPS) and the dilution in earnings per share in each case