Gear Corporation Had the Following Common Stock Record During the Current

question 104

Multiple Choice

Gear Corporation had the following common stock record during the current calendar year: $\begin{array}{|l|r|}\hline \text { Outstanding-January } 1 & 100,000 \\\hline \text { Additional shares issued } 3 / 31 & 5,000,000 \\\hline \text { Distributed a } 10 \% \text { stock dividend on } 6 / 30 & \\\hline \text { Shares reacquired } 9 / 30 & 100,000 \\\hline\end{array}$ What is the number of shares to be used in computing basic EPS?

• A) 5,500,000.
• B) 4,210,000.
• C) 5,303,750.
• D) 5,050,000.

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