Sunland Company, has 4170000 shares of common stock outstanding on December 31, 2020. An additional 803000 shares of common stock were issued on April 1, 2021, and 393000 more on July 1, 2021. On October 1, 2021, Sunland issued 19800, $1,000 face value, 8% convertible bonds. Each bond is convertible into 20 shares of common stock. No bonds were converted into common stock in 2021. What is the number of shares to be used in computing basic earnings per share and diluted earnings per share, respectively?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
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Chapter1: Financial Statements And Business Decisions
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Sunland Company, has 4170000 shares of common stock outstanding on December 31, 2020. An additional 803000 shares of common stock were issued on April 1, 2021, and 393000 more on July 1, 2021. On October 1, 2021, Sunland issued 19800, $1,000 face value, 8% convertible bonds. Each bond is convertible into 20 shares of common stock. No bonds were converted into common stock in 2021. What is the number of shares to be used in computing basic earnings per share and diluted earnings per share, respectively?

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