Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 3 5 points save answer recommended time:

Question 3 5 points Save Answer RECOMMENDED TIME: 7.5 MINUTES A company has the following...

80.2K

Verified Solution

Question

Accounting

image

Question 3 5 points Save Answer RECOMMENDED TIME: 7.5 MINUTES A company has the following summary of earnings for the year ended 31 December 2020: 000 Profit before tax 2.200 Taxation Profit after tax 1,800 Equity for the Company as at 1 January 2020 was: (400) 000 Ordinary Shares (1 cach) 6,000 8% Preference shares (1 2,500 each) The Earnings Per Share for the year ended 31 December 2019 was reported at 36 pence per share. If there was a Rights issue on 1 September 2020 of 1 for 3 for 2.50 per share (when market value was 3.00 per share), the 2020 earnings per share (EPS) and 2019 comparative would be: a. 2020: 23.4 pence per share; 2019: 36.0 pence per share Ob.2020:23.4 pence per share; 2019: 34.5 pence per share Oc 2020: 25.6 pence per share; 2019: 36.0 pence per share O d.2020: 24.0 pence per share: 2019: 36.0 pence per share Oe. 2020: 22.5 pence per share: 2019: 34.5 pence per share

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students