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E16-15 (Weighted-Average Number of Shares) Edison Inc. uses a calendar year for financial reporting. The company is authorized to issue 9,000,000 shares of $10 par

E16-15 (Weighted-Average Number of Shares) Edison Inc. uses a calendar year for financial
reporting. The company is authorized to issue 9,000,000 shares of $10
par common stock. At no time has Edison issued any potentially dilutive securities. Listed below is a summary of Edison's common stock activities.
1. Number of common shares issued and outstanding at December 31, 2012 2,000,000
2. Shares issued as a result of a 10% stock dividend on September 30, 2013 200,000
3. Shares issued for cash on March 31, 2014 2,000,000
Number of common shares issued and outstanding at December 31, 2014 4,200,000
4. A 2-for-1 stock split of Gogeans common stock took place on March 31, 2015
Instructions: Fill in each chart entry for A B C D and show calculations
(a) Compute the weighted average number of common shares used in computing earnings per common share for 2013 on the 2014 comparative income statement.
common shares issued Formula
Text title Percentage
Text title Formula
Text title Formula
Shares outstanding Formula
(b) Compute the weighted average number of common shares used in computing earnings per common share for 2014 on the 2014 comparative income statement.
Text title Formula
Text title Formula
Shares outstanding Formula
(c) Compute the weighted average number of common shares to be used in computing earnings per common share for 2014 on the 2015 comparative income statement.
Text title Formula
Text title Number
Shares outstanding Formula
(d) Compute the weighted average number of common shares to be used in computing earnings per common share for 2015 on the 2015 comparative income statement.
Text title Number
Text title Number
Text title Formula
Text title Formula
Shares outstanding Formula

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