At December 31,2013,Rightoff,Inc

question 10

Multiple Choice

At December 31,2013,Rightoff,Inc.had 600,000 shares of common stock outstanding.On April 1,2014,an additional 180,000 shares of common stock were issued for cash.Rightoff also had $5,000,000 of 8% convertible bonds outstanding at December 31,2013,which are convertible into 150,000 shares of common stock.The bonds are dilutive in the 2014 EPS computation.No bonds were issued or converted into common stock during 2014.
-Using the information above,what is the number of shares that should be used in computing diluted earnings per share for 2014?

• A) 735,000
• B) 780,000
• C) 885,000
• D) 910,000

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