2-a. Compute the 2012 P/E ratio for each company. (Round your answers to 1 decimal place.) BusinessWorld P/E ratio Fun and Games 2-b. Which company do investors appear to value more? BusinessWorld Fun and Games Both Companies appear to generate the same return on equity Computing and Interpreting Return on Equity (ROE) and Price/Earnings (P/E) Ratios [LO 11-5] Two magazine companies reported the following in their 2012 financial statements: Required: 1-a. Compute the 2012 ROE for each company. ROE BusinessWorld % Fun and Games % 1-b. Which company appears to generate greater returns on stockholders' equity in 2012? BusinessWorld Fun and Games Both Companies appear to generate the same return on equity