ABBAS, JOHAYRA M.

COMPUTATION
4 Basic EPS = Net Income / Ordinary Shares Outstanding

Net Income
Amount Stock Dividend
1-Jan Ordinary Shares Outstanding 200000 110.00%
1-May Treasury Shares acquired -12000
1-Jun Shares in business combination 60000
1-Aug Shares for cash 30000
1-Dec Reissued Treasury Shares 6000
Total
Divide by
Average Shares

Basic EPS ₱22.00

Shares Rate
5 Net Income
Less: Preference Dividends 500000 6%
Net income to ordinary shares
Divide by: Ordinary shares outstanding
Basic EPS
Shares Conversion rate
Ordinary shares outstanding
Potential ordinary shares from conversion 50000 2
Total ordinary shares

Diluted EPS (Net income / Ordinary shares)

6 Net income
Less: Preference Dividends
Net income to ordinary shares
Divide by: Ordinary shares outstanding
Basic EPS

7 Income from continuing operations:

Income to ordinary share 10000000
Divide by: Ordinary shares outstanding 2000000 5
Loss from discontinued operations:
Loss from discontinued operations 4000000
Divide by: Ordinary shares outstanding 2000000 2
Total Basic EPS ₱3.00
a Option shares 100000
Less: Assumed treasury shares:
Option shares 100000
Multiply by: Option price 60
Divide by: Ave. Market Price 75 80000
Dilutive Incremental Ordinary Shares 20000

Shares Conversion
b Preference Dividend
Divide by: Potential OS from conversion 800000 2
Antidilutive Incremental EPS
Bond Conversion
c Convertible bonds
Multiply by: Interest rate
Interest expense
Multiply by: (1 - tax rate)
Interest expense, net of tax
Divide by: Potential OS from conversion 1000 20
Dilutive Incremental EPS
 MULTIPLE CHOICE
7A
8C
11,429,000 9D
Share Split Total Fraction
2 440000 12 5280000
2 -24000 8 -192000
2 120000 7 840000
2 60000 5 300000
6000 1 6000
650000 6234000
12
519500

1200000
30000
1170000
200000
₱5.85

200000
100000
300000

₱4.00

1200000
200000
1000000
200000
₱5.00

Income OS EPS
Basic EPS 10000000 2000000 5
Options 0 20000
Diluted EPS 10000000 2020000 4.950495
Convertible bond 3000000 2000000
Diluted EPS 13000000 4020000 3.2338308
Convertible PS 6400000 1600000
Diluted EPS 19400000 5620000 3.4519573
 Income from continuing operations:
Income from continuing operations 13000000
Divide by: Ordinary shares 4020000 3.2338308
Loss from discontinued operations:
Loss from discontinued operations 4000000
Divide by: Ordinary shares 4020000 0.9950249
Diluted EPS ₱2.24

6400000
1600000
4

100000000
5%
5000000
60%
3000000
2000000
1.5