Spring Ltd. has the following shares outstanding on December 31, 2018: a. 150,000 fully paid ordinary shares, no par value; and b. 20,000, 4% cumulative convertible preference shares of HK$100 each. Each preference share can be converted to 6 ordinary shares starting on June 30, 2023. In 2019, the following events occurred: 1. On April 1, 2019, the company issued 10,000 shares at full market price. 2. On July 1, the new ordinary shares were issued by the way of right in the proportion of one for one at HK$8 per share to the existing ordinary shareholders. The fair value of ordinary shares prior to exercise of the right issue was HKS 12. 3. On October 1, the company consolidated two shares into one share a reverse split). Net profit after tax for the year of 2019 was $280,000. The fiscal year end is on December 31. Required: Compute basic earnings per share for 2019 in accordance with HKAS 33. Show all your workings. Express your answers in dollar and round to 2 decimal places. [10 marks Part B: (7 Marks) Summer Ltd.'s 2019 net income is $600,000. The weighted average number of ordinary shares used for the calculation of basic earnings per share is 150,000 shares. The fiscal year ended is on December 31. During the year 2019, the following events occurred: 1. On April 1, 2019, the company issued cumulative convertible preference shares $300,000, 10%, $100 per shares, each preference share is convertible into 2 shares of ordinary share, exercisable on January 1, 2023. 2. On July 1, 2019, 80,000 share options were issued. Each share option entitles the holder to purchase one ordinary share at HK$10, effective October 1, 2020. The average market value of one ordinary share in 2019 was HK$16. Required: Compute diluted earnings per share for 2019 in accordance with HKAS 33. Show all your workings. Express your answers in dollar and round to 2 decimal places. (Note that the information given in Part A is not relevant to the question in Part B.) [7 marks