At the beginning of 2019, Hardin Company had 380,000 shares of $10 par common stock outstanding. During the year, it engaged in the following transactions related to its common stock: March 1 Issued 40,000 shares of stock at $23 per share. June 1 Issued a 20% stock dividend. July 1 Issued 9,000 shares of stock at $28 per share. Aug. 31 Issued a 2-for-1 stock split on outstanding shares, reducing the par value to $5 per share. Oct. 31 Reacquired 94,000 shares as treasury stock at a cost of $31 per share. Nov. 30 Reissued 55,000 treasury shares at a price of $34 per share. Required: 1. Determine the weighted average number of shares outstanding for computing the current earnings per share. Round your interim computations and final answer for the number of shares to nearest whole number.
At the beginning of 2019, Hardin Company had 380,000 shares of $10 par common stock outstanding. During the year, it engaged in the following transactions related to its common stock: March 1 Issued 40,000 shares of stock at $23 per share. June 1 Issued a 20% stock dividend. July 1 Issued 9,000 shares of stock at $28 per share. Aug. 31 Issued a 2-for-1 stock split on outstanding shares, reducing the par value to $5 per share. Oct. 31 Reacquired 94,000 shares as treasury stock at a cost of $31 per share. Nov. 30 Reissued 55,000 treasury shares at a price of $34 per share. Required: 1. Determine the weighted average number of shares outstanding for computing the current earnings per share. Round your interim computations and final answer for the number of shares to nearest whole number.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Weighted Average Shares
At the beginning of 2019, Hardin Company had 380,000 shares of $10 par common stock outstanding. During the year, it engaged in the following transactions related to its common stock:
| March | 1 | Issued 40,000 shares of stock at $23 per share. |
| June | 1 | Issued a 20% stock dividend. |
| July | 1 | Issued 9,000 shares of stock at $28 per share. |
| Aug. | 31 | Issued a 2-for-1 stock split on outstanding shares, reducing the par value to $5 per share. |
| Oct. | 31 | Reacquired 94,000 shares as |
| Nov. | 30 | Reissued 55,000 treasury shares at a price of $34 per share. |
Required:
1. Determine the weighted average number of shares outstanding for computing the current earnings per share. Round your interim computations and final answer for the number of shares to nearest whole number.
2. Determine the number of common shares outstanding at December 31, 2019.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education