indent manually. If no entry is required, select " No Entry " for the account titles and enter 0 for the amounts.)
7) On January 1, 2015, Wilke Corp. had 501,000 shares of common stock outstanding. During 2015, it had the following transactions that affected the Common Stock account.
February 1 March 1 May 1 June 1 October 1
Issued 142,000 shares Issued a 10 % stock dividend Acquired 115,000 shares of treasury stock Issued a 3-for-1 stock split
Reissued 67,800 shares of treasury stock
a.) Determine the weighted-average number of shares outstanding as of December 31, 2015.
b.) Assume that Wilke Corp. earned net income of $ 3,315,000 during 2015. In addition, it had 117,000 shares of 9 %, $ 102 par nonconvertible, noncumulative preferred stock outstanding for the entire year. Because of liquidity considerations, however, the company did not declare and pay a preferred dividend in 2015. Compute earnings per share for 2015, using the weightedaverage number of shares determined in part( a
c.) Assume the same facts as in part( b), except that the preferred stock was cumulative. Compute earnings per share for 2015.( Round answer to 2 decimal places, e. g. $ 2.55.)