Weighted Average Number of Shares
Transactions involving the common stock account of Higrade Gas Company during the 2 year period 2008 to 2009 were as follows:
2008
Jan. 1 Had a balance of 200,000 shares of $10 par common stock.
Apr. 1 Converted $2,500,000 of convertible bonds with 50 shares issued for each $1,000 bond.
July 1 Declared a 10% stock dividend.
Oct. 1 Employees exercised options to purchase 7,000 shares for $20 a share.
2009
Apr. 1 Declared a 2 for 1 stock split.
Oct. 1 Sold 170,000 shares for $30 a share.
From the information given, compute the comparative number of weighted average shares outstanding for 2008 and 2009 to be used for basic EPS computations at the end of 2009.