Xy has in issue 10 million shares and on 1 January x4, it issued options to its directors to acquire 2 million shares at RM2 per share. As at the end of the year, 31 December x4, none of the options were exercised. The average market price of the equity shares during year x4 was RM3.20 each. Required: Compute basic and diluted EPS REVIEW QUESTION 7 A company which had in issue 2.5 million ordinary shares had granted a share option to the directors to purchase 500,000 ordinary shares at RM2 each. The options were granted in x5 and as at the end of x7, the options have not been exercised. The profit after tax for x7 was RM500,000. The average market price of a share for year x7 was RM2.50. Required: Calculate the basic and diluted EPS for x7.