Question: Compute Basic basic Earning Per Share Net profit for the year 20X1 11,00,000 Net profit for the year 20X2 15,00,000 No. of shares outstanding prior

Compute Basic basic Earning Per Share
Net profit for the year 20X1 11,00,000 Net profit for the year 20X2 15,00,000 No. of shares outstanding prior

Net profit for the year 20X1 11,00,000 Net profit for the year 20X2 15,00,000 No. of shares outstanding prior to rights issue 5,00,000 shares Rights issue price 15.00 Last date to exercise rights 1st March 20X2 Rights issue is one new share for each five outstanding (i.e. 1,00,000 new shares) Fair value of one equity share immediately prior to exercise of rights on 1st March 20X2 was 21.00 Compute Basic Earnings Per Share.

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