subject
Business, 13.08.2021 04:30 stattheman8257

Two online magazine companies reported the following in their financial statements: BusinessWorld Fun and Games
2015 2014 2015 2014
Net income $ 111,500 $108,904 $ 92,920 $172,473
Total stockholders' equity 602,186 527,814 462,151 482,049
Earnings per share 3.50 3.49 2.40 4.28
Stock price when annual results reported 55.15 51.79 33.30 60.45
Required:
1-a. Compute the 2015 ROE for each company. (Round your answers to 1 decimal place.)
1-b. Which company appears to generate greater returns on stockholders' equity in 2015?
i. BusinessWorld
ii. Fun and Games
iii. Both Companies appear to generate the same return on equity
2-a. Compute the 2015 P/E ratio for each company. (Round your answers to 1 decimal place.)
2-b. Which company do investors appear to value more?
i. BusinessWorld
ii. Fun and Games
iii. Both Companies appear to generate the same return on equity

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 01:30
Diversity is an obstacle all marketers face: true false
Answers: 2
question
Business, 22.06.2019 03:00
How could brian, who doesn't want his car insurance premiums to increase, show he poses a low risk to his insurance company? a: drive safely to avoid accidents and traffic citations b: wash and wax his car regularly to keep it clean c: allow unlicensed drivers to drive carelessly in his car d: incur driver's license points from breaking driving laws
Answers: 1
question
Business, 22.06.2019 12:00
Suppose there are three types of consumers who attend concerts at your university’s performing arts center: students, staff, and faculty. each of these groups has a different willingness to pay for tickets; within each group, willingness to pay is identical. there is a fixed cost of $1,000 to put on a concert, but there are essentially no variable costs. for each concert: i. there are 140 students willing to pay $20. (ii) there are 200 staff members willing to pay $35. (iii) there are 100 faculty members willing to pay $50. a) if the performing arts center can charge only one price, what price should it charge? what are profits at this price? b) if the performing arts center can price discriminate and charge two prices, one for students and another for faculty/staff, what are its profits? c) if the performing arts center can perfectly price discriminate and charge students, staff, and faculty three separate prices, what are its profits?
Answers: 1
question
Business, 22.06.2019 13:10
Paid-in-capital in excess of par represents the amount of proceeds a. from the original sale of common stock b. in excess of the par value from the original sale of common stock c. at the current market value of the common stock d. at the curent book value of the common stock
Answers: 1
You know the right answer?
Two online magazine companies reported the following in their financial statements: BusinessWorld F...
Questions
question
Mathematics, 10.02.2021 16:20
question
Mathematics, 10.02.2021 16:20
question
Computers and Technology, 10.02.2021 16:20
question
Mathematics, 10.02.2021 16:20
Questions on the website: 13722361