# Weighted average shares calculation example

I have the following question that every time I compute the earnings per share, I keep coming up with two different answers. I'm trying to figure out what I am doing wrong:

The following information is available for a corporation:

January 1, 2011 Shares outstanding 1,250,000

April 1, 2011 Shares issued 200,000

July 1, 2011 Treasury shares purchased 75,000

October 1, 2011 Shares issued in a 100% stock dividend 1,375,000

The number of shares to be used in computing earnings per common share for 2011 is:

a. 2,825,500

b. 2,737,500

c. 2,725,000

d. 1,706,250

https://brainmass.com/business/accounting/weighted-average-shares-calculation-example-391810

#### Solution Preview

Since there is a 100% stock dividend on Oct 1, all shares prior to Oct 1 would be adjusted for 100% stock ...

#### Solution Summary

Provides steps necessary to calculate the weighted average shares from the data given.

$2.19