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On January 1, 2012, Chang Corp. had 518,000 shares of common stock outstanding.

ID: 2507808 • Letter: O

Question

On January 1, 2012, Chang Corp. had 518,000 shares of common stock outstanding. During 2012, it had the following transactions that affected the Common Stock account.

February 1 Issued 134,000 shares March 1 Issued a 20% stock dividend May 1 Acquired 118,000 shares of treasury stock June 1 Issued a 3-for-1 stock split October 1 Reissued 75,800 shares of treasury stock On January 1, 2012, Chang Corp. had 518,000 shares of common stock outstanding. During 2012, it had the following transactions that affected the Common Stock account.

February 1 Issued 134,000 shares March 1 Issued a 20% stock dividend May 1 Acquired 118,000 shares of treasury stock June 1 Issued a 3-for-1 stock split October 1 Reissued 75,800 shares of treasury stock On January 1, 2012, Chang Corp. had 518,000 shares of common stock outstanding. During 2012, it had the following transactions that affected the Common Stock account.

February 1 Issued 134,000 shares March 1 Issued a 20% stock dividend May 1 Acquired 118,000 shares of treasury stock June 1 Issued a 3-for-1 stock split October 1 Reissued 75,800 shares of treasury stock On January 1, 2012, Chang Corp. had 518,000 shares of common stock outstanding. During 2012, it had the following transactions that affected the Common Stock account. Determine the weighted-average number of shares outstanding as of December 31, 2012.

Explanation / Answer

(a) Weighted-average number of shares outstanding 1,939,000

(b) Earnings Per Share = $3,256,000 (Net Income)/1,939,000 (Weighted-Average Shares)= $1.68


(c) Earnings Per Share = ($3,256,000

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