Hamm Corporation Had 200,000 Ordinary Shares Outstanding on January 1

Hamm Corporation had 200,000 ordinary shares outstanding on January 1, 2021. On April 1, 2021, Hamm issued an additional 120,000 shares. On July 1, 2021, Hamm repurchased 20,000 ordinary shares and cancelled them. On October 1, 2021, Hamm issued an additional 50,000 ordinary shares.
Required:
a. What was the weighted average number of ordinary shares outstanding in 2021?
b. Assume that on July 1, 2021 Hamm repurchased the shares and held them as treasury shares. Will the weighted average number of ordinary shares outstanding in 2019 change from the amount in part a? Why or why not?

Correct Answer:

Verified

a. b. The weighted average number of or...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

View Full Answer For Free