Required:1. Compute the theoretical value of share ex-right2. Compute the adjustment factor3. Compute the basic earnings per share for 2020, 2021 and 2022.

Problem 19-7 (IFRS) Greece Company provided the following information: Net income for 2020 11,000,000 Net income for 2021 15,000,000 Net income for 2022 18,000,000 Ordinary shares outstanding during 2020 600,000 On January 1, 2021, the entity granted a rights issue in the ratio of one new share for each 5 outstanding shares or a total of 120,000 shares. The rights are exercisable on March 1, 2021 and the exercise price is P5 per share. The market price of one ordinary share immediately before exercise of rights on March 1, 2021 is Pl1. Required: 1. Compute the theoretical value of share ex-right. Compute the adjustment factor. 3. Compute the basic earnings per share for 2020, 2021 and 2022