Reference no: EM132990444

Question - For the year ended 30/06/2018, ABC Company had 40,000 fully paid ordinary shares of Tk. 10 each. The following issues and purchases were subsequently made during the year:

20,000 fully paid ordinary shares issued on 01/08/2018 at the prevailing market price;

7000 fully paid ordinary shares issued on 01/04/2019 at an issue price of Tk. 20.

In addition, the company has options that represent 10,000 shares of common stock which were issued on August 01, 2018.exercise price is Tk.30 per share. Market value at the date of option was tk. 29. Average market value from August 01, 2018 to June 30, 2019 was Tk. 40.

The reported net profits of the company were Tk. 230,000. For the entire financial year ABC Company limited had 10,000 preference shares of Tk. 100 each, which provide dividends at a rate of 10 percent per year. The dividends rights are cumulative.

Requirement - Compute the Basic and Diluted Earnings Per Share (EPS) for the year ended on 30/06/2019 as per the International Accounting Standard (IAS) # 33.