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Compute Return on Equity (ROE): Requirements: Using data from a balance sheet and income statement, calculate the return on equity (ROE) with the following figures:

  • Compute Return on Equity (ROE): Requirements:
    • Using data from a balance sheet and income statement, calculate the return on equity (ROE) with the following figures:
      • Net Income: $80,000
      • Average Equity: $400,000
    • Express ROE as a percentage.
    • Provide the calculated ROE.

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  • Calculate Book Value per Share: Requirements:
    • Given a balance sheet with the following figures for common stock and total equity, along with the number of outstanding shares:
      • Common Stock: $100,000
      • Total Equity: $500,000
      • Outstanding Shares: 50,000
    • Calculate the book value per share.
    • Express the book value per share as a numerical value (total equity divided by outstanding shares).
    • Provide the calculated book value per share.

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