At the beginning of 2011, Hardin Company had 220,000 shares of $10 par common stock outstanding. During

Question:

At the beginning of 2011, Hardin Company had 220,000 shares of $10 par common stock outstanding. During the year, it engaged in the following transactions related to its common stock:

March 1 Issued 45,000 shares of stock at $22 per share.

June 1 Issued a 15% stock dividend.

July 1 Issued 10,000 shares of stock at $27 per share.

Aug. 31 Issued a two-for-one stock split on outstanding shares, reducing the par value to $5 per share.

Oct. 31 Reacquired 95,000 shares as treasury stock at a cost of $30 per share.

Nov. 30 Reissued 45,000 treasury shares at a price of $33 per share.

Required:

Determine the following:

1. Weighted average number of shares outstanding for computing the current earnings per share.

2. Number of common shares outstanding at December 31, 2011.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...