Outstanding shares common, number, average

hinsafdar

January 1, 2003: 50,000
October 1, 2003: Issued 20,000 shares
March 1, 2004: Issued a 10% stock dividend
July 1, 2004: Declared a 2 for 1 stock split
October 1, 2004: Repurchased 30,000 shares
Calculate the weighted average number of common shares outstanding for 2003 and 2004.

2003 2004


A) 55,000 124,500


B) 10,000 124,000


C) 55,000 146,500


Explanation:

For year 2003:
50,000

JPSem

they started 2003 with 50,000 shares and they issued 20,000, so they ended the year with 70,000.

hariRaj

Holy cow! I would have definitely got this question wrong in the exam if I wouldn't have noticed it. I would have definitely started with 55,000. Thanks Kia!