I thinks the reply would be 137,500 shares Jan-Feb-120,000x2/12=20,000 sh Mar-May - (120,000-12000)x3/12=27,000sh June-Oct-(108,000+30,000)x5/12=57,500sh Nov-Dec-(138,000+60,000)x2/12=33,000sh Total-137,500sh Note: Have reduce 12,000 as they are repurchased shares and would go to treasury and won't be part of common o/s used for EPS.
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Vijayganapathy No Last Name
Accountant
Solas Marine Services Co LLC
Chennai TN
India
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Original Message:
Sent: 10-22-2021 01:29 AM
From: Adeyemi Bello
Subject: CMA Part 2 Question
198000
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Adeyemi Bello
Student
Applecart Logistics Inc.
Edmonton AB
Canada
Original Message:
Sent: 10-21-2021 04:01 PM
From: Muhammad Usman Cheema
Subject: CMA Part 2 Question
Hi,
Fellow candidates, i have problem with the below mentioned question. Could you please suggest the solution to this question and also explain how to tackle this type of question...
Roy company had 120,000 common shares and 100,000 preferred shares outstanding at the close of the prior year. During the current year Roy repurchased 12,000 common shares on March 1, sold 30,000 common shares on June 1, and sold an additional 60,000 common shares on November 1. No change in preferred shares outstanding occurred during the year. The number of shares of stock outstanding to be used in the calculation of basic earnings per share at the end of the current year is
a. 100,000.
b. 137,500.
c. 198,000.
d. 298,000.