1. Newport Ltd had an issued share capital on 1 April 2018 of – $400,000 made up of $0.50 shares. – 100,000 $1 convertible preference shares receiving a dividend of $5.00 per share: – these shares were convertible in 2018 on the basis of 1 ordinary share for 2 preference shares. The company has the following loan capital outstanding: – $500,000 5% convertible loans: – the loan was convertible in 2018 on the basis of 250 shares for each $2,000 loan; – the tax rate was 30%. Earnings for the year ended 31 March 2019 were $10,000,000 after tax.
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3. Required: 
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5. i. Calculate the diluted EPS for 2019. 
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7. ii. Outline the need to disclose a diluted EPS figure and the relevance of this to the shareholders.