18Using the information provided below, calculate the diluted shares outstanding using the treasurystock method.Basic Shares OutstandingOutstanding Options and WarrantsOption/Warrant Exercise PriceAverage Market Share Price385,507372,000428,733407,120Company Inc.372,00035,120$17.25$28.03

The treasury stock method (TSM) is actually an approach that companies use to calculate the number…

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Business

Accounting

diluted shares outstanc

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

18
Using the information provided below, calculate the diluted shares outstanding using the treasury
stock method.
Basic Shares Outstanding
Outstanding Options and Warrants
Option/Warrant Exercise Price
Average Market Share Price
385,507
372,000
428,733
407,120
Company Inc.
372,000
35,120
$17.25
$28.03

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