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On December 31, 2019, GREEN Inc. had 450,000 shares of no-par ordinary shares issued and outstanding. All shares were sold for P15. On June 30, 2020, the firm issued an additional 135,000 shares for P14 per share. The 2020 income was P519,200. On September 1, 2021, a 15 percent share dividend was issued to all ordinary shareholders. On October 1, 2021, 60,000 shares were reacquired as treasury shares. Net income in 2021 was P478,000.
Requirement: Problem 1: Compute the weighted-average number of ordinary shares outstanding for 2021 that should be shown on comparative statements at the end of 2021.
Problem 2: Compute the basic earnings per share in 2021 to be reported on comparative statements at the end of 2021.
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