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Calculate return on assets and equity and comment. (106) AP 2013 2012 P13-11B The following financial information (in millions) is for two major corporations for
Calculate return on assets and equity and comment. (106) AP 2013 2012 P13-11B The following financial information (in millions) is for two major corporations for three fiscal years ended December 31: 2014 2013 2012 Husky Energy Inc. Profit $ 1,258 $ 1,829 $ 2,022 Shareholders' equity 20,575 20,078 19,161 Total assets 38,848 36,904 35,161 Suncor Energy Inc. Profit $ 2,699 $ 3,911 $ 2,740 Shareholders' equity 41,603 41,180 39,215 Total assets 79,671 78,315 76,401 Instructions (a) Calculate return on assets and return on equity for each company for 2014 and 2013. Comment on whether their ratios have improved or deteriorated. (b) Compare Husky's ratios with Suncor's. (e) The five-year industry average for return on equity is 14.06%. Compare the two companies' performance the industry average
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