Computation of weighted average shares outstanding during the year: January 1           Outstanding                                                    700,000 March 1              Repurchase (5/6 Solution Computation of no. of shares outstanding during the year .

1. Computation of weighted average shares outstanding during the year:
January
1           Outstanding                      Â
                             700,000
March 1Â Â Â Â Â Â Â Â Â Â Â Â Â Repurchase (5/6
Solution
Computation of no. of shares outstanding during the year
Particulars
No. of shares for
consideration (i)
Time propotinate
(ii)
No. shares outstanding
(i*ii)
Jan 1: Outstanding 700,000 12/12 700,000
March 1: Shares
repurchase
50,000 10/12 (41,667)
June 1: 2-1 split 1,300,000 7/12 758,333
Nov 1: shares issued 40,000 2/12 6,667
Weighted average
shares
1,423,333