Calculating outstanding common shares following, average, common, number

Maddin

thanks CP.

orang3eph

when you get to 2004 - you need to look at the total # of shares. not the WASO of 55.

total # of shares up to that point in time = 50 + 20 = 70

CP

brk1yn

Zimmer Co. had the following common shares outstanding:

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) 55,000 146,500
B) 55,000 124,500
C) 10,000 124,000

Correct answer is A.

For year 2003:
50,000