Answer:
$3.10
Explanation:
Outstanding on Jan 1 = 100,000*12/12 = 100,000
Less: Treasury Stock 3,900*10/12 = (3,250)
Add: Sold Treasury Shares 3,900*3/12 = 975
Add: New Shares Sold 12,900*1/12 = 1075
Weighted Average of Equity Shares = 100,000 - 3,250 + 975 + 1,075
Weighted Average of Equity Shares = 98,800
Basic Earnings per Share = Net Income/Weighted Average of Equity Shares outstanding
Basic Earnings per Share = $306,750/98,800 shares
Basic Earnings per Share = $3.10475709
Basic Earnings per Share = $3.10
So, Sealed Air's basic earnings per share for the year ended December 31, 2021 is $3.10.
