Lavender Corporation had 10,000 shares of common stock outstanding at the beginning of the year. On July

Question:

Lavender had 10,000 shares of outstanding at the beginning of the year. On July 1, it issued 5,000 shares, and on September 1 it reacquired 600 shares as treasury stock. What is the weighted average number of common shares the company will use in computing its earnings per share?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...