Question
Sheffield Corp. had 1560000 shares of common stock issued and outstanding at December 31, 2017. On July 1, 2018 an additional 1240000 shares were issued
Sheffield Corp. had 1560000 shares of common stock issued and outstanding at December 31, 2017. On July 1, 2018 an additional 1240000 shares were issued for cash. Sheffield also had stock options outstanding at the beginning and end of 2018 which allow the holders to purchase 375000 shares of common stock at $25 per share. The average market price of Sheffield's common stock was $30 during 2018. What is the number of shares that should be used in computing diluted earnings per share for the year ended December 31, 2018?
Given answers:
2242500
2261250
2862500
2492500
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