Question
Wildhorse SA uses a calendar year for financial reporting. The company is authorized to issue 9,400,000 R$10 par ordinary shares. At no time has Wildhorse
Wildhorse SA uses a calendar year for financial reporting. The company is authorized to issue 9,400,000 R$10 par ordinary shares. At no time has Wildhorse issued any potentially dilutive securities. Listed below is a summary of Wildhorses ordinary share activities.
1. | Number of ordinary shares issued and outstanding at December 31, 2021 | 2,050,000 | ||
2. | Shares issued as a result of a 10% share dividend on September 30, 2022 | 205,000 | ||
3. | Shares issued for cash on March 31, 2023 | 1,810,000 | ||
Number of ordinary shares issued and outstanding at December 31, 2023 | 4,065,000 | |||
4. | A 2-for-1 share split of Wildhorses ordinary shares took place on March 31, 2024 |
(a) Compute the weighted-average ordinary shares used in computing earnings per ordinary share for 2022 on the 2023 comparative income statement.
(b) Compute the weighted-average ordinary shares used in computing earnings per ordinary share for 2023 on the 2023 comparative income statement.
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