Assume Elridge Inc. had 400,000 common shares outstanding on January 1. It issued 50,000 shares on March 1 and retired 20,000 shares on October 1. There was a 2:1 share split on December 1. Assume NI= $750,000 and cumulative preferred dividends = $150,000 Calculate weighted average common shares outstanding using the table below Dates Share Share Shares Restated Fraction of Weighted Transaction Changes Outstanding the year average shares outstanding 1/1 3/1 10/1 12/1 Calculate EPS
Assume Elridge Inc. had 400,000 common shares outstanding on January 1. It issued 50,000 shares on March 1 and retired 20,000 shares on October 1. There was a 2:1 share split on December 1. Assume NI= $750,000 and cumulative preferred dividends = $150,000 Calculate weighted average common shares outstanding using the table below Dates Share Share Shares Restated Fraction of Weighted Transaction Changes Outstanding the year average shares outstanding 1/1 3/1 10/1 12/1 Calculate EPS
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Assume Elridge Inc. had 400,000 common shares outstanding on January 1. It issued 50,000 shares on
March 1 and retired 20,000 shares on October 1. There was a 2:1 share split on December 1. Assume NI=
$750,000 and cumulative preferred dividends = $150,000
Calculate weighted average common shares outstanding using the table below
Dates
Share
Share
Shares
Restated
Fraction of
Weighted
Transaction
Changes
Outstanding
the year
average
shares
outstanding
1/1
3/1
10/1
12/1
Calculate EPS
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