Question
Wildhorse Inc. is publicly traded and uses a calendar year for financial reporting. The company is authorized to issue 50 million common shares. At no
Wildhorse Inc. is publicly traded and uses a calendar year for financial reporting. The company is authorized to issue 50 million common shares. At no time has Wildhorse issued any potentially dilutive securities. The following is a summary of Wildhorses common share activities:
Number of common shares issued and outstanding at December 31, 2018 | 6,350,000 | ||
Shares issued as a result of a 10% stock dividend on September 30, 2019 | 635,000 | ||
Shares issued for cash on March 31, 2020 | 2,920,000 | ||
Number of common shares issued and outstanding at December 31, 2020 | 9,905,000 |
Wildhorse issued its 2020 financial statements on February 28, 2021. A 2for1 stock split of Wildhorses common shares occurred on March 31, 2021.
Calculate the weighted average number of common shares to use in calculating earnings per common share for 2020 on the 2020 comparative income statement.
Weighted average number of common shares | enter the weighted average number of common shares |
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