Reference no: EM131932367
Question - Grouper Inc. uses a calendar year for financial reporting. The company is authorized to issue 9,720,000 shares of $10 par common stock. At no time has Grouper issued any potentially dilutive securities. Listed below is a summary of Grouper's common stock activities.
1. Number of common shares issued and outstanding at December 31, 2015-1,910,000
2. Shares issued as a result of a 10% stock dividend on September 30, 2016-191,000
3. Shares issued for cash on March 31, 2017-1,830,000
Number of common shares issued and outstanding at December 31, 2017-3,931,000
4. A 2-for-1 stock split of Grouper's common stock took place on March 31, 2018
Compute the weighted-average number of common shares used in computing earnings per common share for 2016 on the 2017 comparative income statement.
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