[mshuggerbaby]

2002
Outstanding shares are 40,000

2003
Treasury stock purchased on Apr. 1 (4.000)
Issuance of new shares on June 30 12,000
10% stock dividend on Oct. 1 4,800
Total outstanding shares on Dec. 31, 2003 52,800

Looking for help calculating the following:
1. outstanding shares 2. effect of dividend 3. fraction of year 4. weighted average
January - March
April - June
July - September
October - December

Weighted-average shares outstanding total is 47,300 shares.

If anyone can help me out with this I would appreciate it.

Thanks!

[morgaine300]

You need to start with the beginning balance and write down how many months you had that balance. The problem is already specifying that it's Jan through March.

Then stop at each date something happened and determine how that transaction would have affected the outstanding shares. The first thing that happens is a treasury stock purchase. How does that affect outstanding shares? Make that change and then look at how long that balance will last. It lasts through the end of June until the next transaction happens.

So you have to start with going through each of the transactions and determine how that affects the outstanding share balance.

Since we are not here to just do the work for you, and since there are several steps involved in this problem, see what attempt you can make at doing any of this and post it. Whatever you're stuck on, please ask specific questions about whatever it is, because the problem involves things scattered throughout a chapter.