On January 1, 2007, Yarrow Corporation had 1,000,000 shares of common stock outstanding. On March 1, the corporation issued 150,000 new shares to raise additional capital. On July 1, the corporation declared and issued a 2-for-1 stock split. On October 1, the corporation purchased on the market 600,000 of its own outstanding shares and retired them.
Compute the weighted average number of shares to be used in computing earnings per share for 2007.
The weighted average number of shares must be restated retroactively for the stock dividend. These shares are assumed to have been ...
The solution explains how to calculate the weighted average shares outstanding
Compute weighted average & basic earnings
How to compute weighted average number of common shares outstanding to be reported on comparative statements.
How to compute the basic earnings per share to be reported on comparative statements.View Full Posting Details