Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Cullumber Inc. uses a calendar year for financial reporting. The company is authorized to issue 8,850,000 shares of $12 par common stock. At no time

Cullumber Inc. uses a calendar year for financial reporting. The company is authorized to issue 8,850,000 shares of $12 par common stock. At no time has Cullumber issued any potentially dilutive securities. Listed below is a summary of Cullumbers common stock activities.

1. Number of common shares issued and outstanding at December 31, 2018

2,080,000

2. Shares issued as a result of a 12% stock dividend on September 30, 2019

249,600

3. Shares issued for cash on March 31, 2020

2,060,000

Number of common shares issued and outstanding at December 31, 2020

4,389,600

4.

A 2-for-1 stock split of Cullumbers common stock took place on March 31, 2021

Compute the weighted-average number of common shares used in computing earnings per common share for 2019 on the 2020 comparative income statement.

2,329,600 shares

Compute the weighted-average number of common shares used in computing earnings per common share for 2020 on the 2020 comparative income statement.

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

Financial Accounting Tools For Business Decision Making

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

3rd Edition

047169195X, 978-0471691952

More Books

Students also viewed these Accounting questions

Question

=+b) Which model do you prefer? Explain briefly. Section 18.4

Answered: 1 week ago

Question

Explain the various employee benefit laws.

Answered: 1 week ago

Question

Describe the premium pay benefit practice.

Answered: 1 week ago