Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

(Weighted-Average Number of Shares) Assuming XYZ uses a calendar year for financial reporting. Th company is authorized to issue 8,000,000 shares of $10 par common

(Weighted-Average Number of Shares) Assuming XYZ uses a calendar year for financial reporting. Th company is authorized to issue 8,000,000 shares of $10 par common stock. Listed below is a summary of XYZ's common stock activities:

1. Number of common shares issued and outstanding at Dec 31,2012: 6,000,000

2. Shares issued as a result of a 25% stock dividnd on Sep 1, 2013: 1,500,000

3. Shares issued for cash on May 1, 2014: 4,000,000

- Number of common shares issued and outstanding at Dec 31, 2014: 11,500,000

4. A 6-for-1 stock split of XYZ's common stock took place on June 30, 2015

A) Compute the weighted average number of common shares used in computing earnings per common share for 2013 on the 2014 comparative income statement

B) Compute the weighted average number of common shares used in computing earnints per common share for 2014 on the 2014 comparative income statement

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

D) Compute the weighted average number of common shares to be used in computing earnings per common share for 2015 on the 205 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

Students also viewed these Accounting questions

Question

Evaluate the importance of diversity in the workforce.

Answered: 1 week ago

Question

Identify the legal standards of the recruitment process.

Answered: 1 week ago