Question Three On 31 December 20X1, the issued share capital of a company consisted of 4,000,000 ordinary shares of 25c each. On 1 July 20X2 the company made a rights issue in the proportion of 1 for 4 at 50c per share when the shares were quoted at R1.15. The profit after tax for the year ended 31 December 20X2 was R425,000. The reported earnings per share for the year ended 31 December 20X1 was 8c. Required: Calculate the basic EPS for the year ended 31 December 20X2, together with the comparative for 20X1 that would be presented in the 20X2 financial statements