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Newton Inc. uses a calendar year for financial reporting. The company is authorized to issue 9,013,000 shares of $12 par common stock. At no time has Newton issued any potentially dilutive securities. Listed below is a summary of Newton’s common stock activities.
1. Number of common shares issued and outstanding at December 31, 2012 2,417,000 2. Shares issued as a result of a 12% stock dividend on September 30, 2013 290,040 3. Shares issued for cash on March 31, 2014 2,052,000 Number of common shares issued and outstanding at December 31, 2014 4,759,040 4. A 2-for-1 stock split of Newton’s common stock took place on March 31, 2015
Compute the weighted-average number of common shares used in computing earnings per common share for 2013 on the 2014 comparative income statement?
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