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Two online magazine companies reported the following in their financial statements: Net income Total stockholders' equity Earnings per share Stock price when annual results reported
Two online magazine companies reported the following in their financial statements: Net income Total stockholders' equity Earnings per share Stock price when annual results reported Required: BetterWorth Outdoor Fun 2021 $ 107,500 2020 $ 108,104 2021 $ 88,500 562,186 2.70 487,814 2.69 422,151 1.60 2020 $ 171,673 442,049 53.65 49.79 31.30 3.48 58.45 1-a. Compute the 2021 ROE for each company. 1-b. Which company appears to generate greater returns on stockholders' equity in 2021? 2-a. Compute the 2021 P/E ratio for each company. 2-b. Which company do investors appear to value more? Complete this question by entering your answers in the tabs below. Req 1A Req 18 Req 2A Req 28 Compute the 2021 ROE for each company. (Round your answers to 1 decimal place.) BetterWorth Outdoor Fun ROE % % Req 1A Req 1B > Two online magazine companies reported the following in their financial statements: Net income Total stockholders' equity Earnings per share Stock price when annual results reported Required: $ 107,500 $ 108,104 Betterworth 2021 2020 Outdoor Fun 2021 $ 88,500 487,814 422,151 2.69 49.79 1.60 31.30 2020 $171,673 442,049 3.48 58.45 562,186 2.70 53.65 1-a. Compute the 2021 ROE for each company. 1-b. Which company appears to generate greater returns on stockholders' equity in 2021? 2-a. Compute the 2021 P/E ratio for each company. 2-b. Which company do investors appear to value more? Complete this question by entering your answers in the tabs below. Req 1A eq 18 Req 2A Req 28 Which company appears to generate greater returns on stockholders' equity in 2021? BetterWorth Outdoor Fun Both Companies appear to generate the same return on equity < Req 1A Req 2A > Two online magazine companies reported the following in their financial statements: Net income Total stockholders' equity Earnings per share Stock price when annual results reported Required: BetterWorth 2021 2020 $ 107,500 $108,104 562,186 2.70 53.65 487,814 2.69 49.79 Outdoor Fun 2021 2020 $ 88,500 $ 171,673 1-a. Compute the 2021 ROE for each company. 2-a. Compute the 2021 P/E ratio for each company. 1-b. Which company appears to generate greater returns on stockholders' equity in 2021? 2-b. Which company do investors appear to value more? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2A Req 28 Compute the 2021 P/E ratio for each company. (Round your answers to 1 decimal place.) P/E Ratio BetterWorth Outdoor Fun times times 422,151 1.60 31.30 442,049 3.48 58.45 Two online magazine companies reported the following in their financial statements: Net income Total stockholders' equity Earnings per share Stock price when annual results reported Required: Betterworth 2021 2020 $ 107,500 $ 108,104 562,186 2.70 53.65 Outdoor Fun 422,151 1.60 31.30 2020 $171,673 442,049 3.48 58.45 2021 $ 88,500 487,814 2.69 49.79 1-a. Compute the 2021 ROE for each company. 1-b. Which company appears to generate greater returns on stockholders' equity in 2021? 2-a. Compute the 2021 P/E ratio for each company. 2-b. Which company do investors appear to value more? Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2A Req 2 Which company do investors appear to value more? OBetterWorth OOutdoor Fun OBoth companies appear to generate the same P/E ratio. < Req 2A Req 28 >
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