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Quinn plc is an importer and wholesaler of mobile phone accessories. At the 3 1 December 2 0 1 8 , the company s authorised
Quinn plc is an importer and wholesaler of mobile phone accessories. At the December
the companys authorised share capital is consisting of pence ordinary
shares. Quinn plcs issued ordinary share capital on January was On
May the company capitalised reserves by issuing three bonus pence ordinary shares
for each pence ordinary share held.
Quinn plcs profit before tax for the year ended December amounted to
and the income tax liability for was estimated at
At December Quinn plcs share price was pence and the average share price
during the year was pence. Quinn plc has an effective rate of income tax of
Additional Information
During the year ended December Quinn plc had convertible
preference shares in issue. Each preference share may be converted into five pence
ordinary shares during the year ended December
In Quinn plc issued options that give the companys directors the right to subscribe
for pence ordinary shares between and at pence per ordinary share. At
December there were options still outstanding.
On January Quinn plc had convertible loan stock in issue. On
September the loan stock was converted into pence ordinary shares on the basis
of ordinary shares for each of loan stock.
Quinn plc reports its earnings per share in accordance with IAS Earnings Per Share.
Requirement
a Calculate the basic earnings per share figure to be reported in the financial statements
of Quinn plc for the year ended December Marks
b Compute the diluted earnings per share of Quinn plc for the year ended December
Marks
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