Final answer:
To calculate Pharaoh's weighted average number of shares outstanding for the year ended December 31, 2020, consider the shares outstanding at different points in time and multiply them by the amount of time they were outstanding. The total weighted shares for Pharaoh would be 283,915,200.
Step-by-step explanation:
In order to calculate Pharaoh's weighted average number of shares outstanding for the year ended December 31, 2020, we need to consider the number of shares outstanding at different points in time. On January 1, 2020, Pharaoh had 601,800 common shares outstanding. On March 1, 2020, Pharaoh issued an additional 160,200 shares, bringing the total to 762,000 shares. On September 1, 2020, Pharaoh repurchased and cancelled 68,400 shares, resulting in 693,600 shares outstanding.
To calculate the weighted average number of shares outstanding, we need to multiply the number of shares outstanding during each period by the amount of time they were outstanding. Assuming Pharaoh's fiscal year ends on December 31, the calculation would be as follows:
- Shares outstanding from January 1 to February 29 (60 days): 601,800 shares x 60 days = 36,108,000 weighted shares
- Shares outstanding from March 1 to August 31 (214 days): 762,000 shares x 214 days = 163,068,000 weighted shares
- Shares outstanding from September 1 to December 31 (122 days): 693,600 shares x 122 days = 84,739,200 weighted shares
The total weighted shares would then be summed: 36,108,000 + 163,068,000 + 84,739,200 = 283,915,200 weighted shares.