Computing Weighted-Average Common Shares On January 1, Case Inc. had 300,000 shares of common stock issued and outstanding. Case issued a 10% stock dividend on July 1. On October 1, Case purchased 24,000 shares of its common stock for the treasury. What is the number of shares that should be used in computing basic earnings per share for the year ended December 317 Retroactive Restatement for Equivalent Actual Shares Weighted Stock Dividend Inclusive Dates Outstanding or Stock Split Shares Outstanding Months Avg. Shares Outstanding Outstanding January-June 300,000 15,000 x 330,000 6 165,000 July-September 330,000 330,000 3 82,500 October-December 306,000 306,000 3~ 76,500 324,000 The number of shares for the basic EPS calculation is 324,000