Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Baldwin Company had 55,000 shares of common stock outstanding throughout 2009. Th company had outstanding fully vested incentive stock options for 10,000 shares exercisable at

Baldwin Company had 55,000 shares of common stock outstanding throughout 2009. Th company had outstanding fully vested incentive stock options for 10,000 shares exercisable at $10 that had not been exercised by its executives by the end of 2009. The options were outstanding for the whole year. The average stock price in 2009 was $12. What was the number of shares of stock that should be used in computing diluted earnings per share for 2009?

a. 55,909

b. 56,667

c. 65,000

d. 75,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Advanced

Authors: Claudia Bienias Gilbertson

9th Edition

0538447559, 9780538447553

More Books

Students also viewed these Accounting questions

Question

State the uses of job description.

Answered: 1 week ago

Question

Explain in detail the different methods of performance appraisal .

Answered: 1 week ago