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Chapter 5
To work out the bonus (free) shares
Step 2. Number of full
price shares purchased
with cash raised from the
options x
Step 3. Bonus shares x β
––––
Step 1. Number of options
in existence x
––––
DEPS calculation with option
Earnings
––––––––––––––––––––––––––––––––––––––––––––––
WAV number of ordinary share + bonus shares from step 3
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