Meeting 90% text. Onan Company intends to engage in a pooling of interests with General Company. General Company has 50,000 shares of common stock outstanding on the initiation date. Onan will issue one of its shares for every two General shares. On the initiation date, Onan already owns 1,000 General shares, and a wholly owned subsidiary of Onan owns another 1,500 shares. By the consummation date, Onan issued 22,000 of its shares in accord with the predetermined exchange rate. Onan also purchased 1,000 General shares from dissident shareholders of General Company for cash.
Determine the number of General Company shares that are eligible to meet the 90% test which is required to record the acquisition as a pooling of interests. Has the 90% test been satisfied?