Question 1 Harris Pilton had 5,000,000 common shares in issue on January 1, 2018. On March 1, the company issued 100,000 new shares. On May 1 the company made a 3 for 2 bonus issue. On July 1, the company issued 500,000 new shares at the market price of $60.00. On September 1, the company repurchased 50,000 shares. On October 1, the company issued a 20% stock dividend. The company's year-end is 31 December. Its profit after tax is $8,000,000. The tax rate is 30%. The company also has 2,000, $100 par, 5% nonconvertible, cumulative preferred stock in issue. Dividends were not declared for the period. Instructions 1. Calculate the weighted average number of common shares outstanding 2. Calculate basic earnings per share for the period. Answer: