The Decatur Co. awarded senior executives 50,000 stock options exercisable into an equal number of common shares. The exercise price of the shares is $ 10. The average market price during the year was $ 25. How many shares will be added to the weighted average common shares outstanding using the treasury stock method of calculation?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The Decatur Co. awarded senior executives
50,000 stock options exercisable into an equal
number of common shares. The exercise price of
the shares is $ 10. The average market price during
the year was $ 25. How many shares will be added
to the weighted average common shares
outstanding using the treasury stock method of
calculation?
Transcribed Image Text:The Decatur Co. awarded senior executives 50,000 stock options exercisable into an equal number of common shares. The exercise price of the shares is $ 10. The average market price during the year was $ 25. How many shares will be added to the weighted average common shares outstanding using the treasury stock method of calculation?
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