use the info to andser questions 1-3

Renegade Clothing is struggling to meet analysts' forecasts, It's early December 2024 , and the year-end projections are in. Listed below are the projections for the year ended 2024 and the comparable actual amounts for 2023. Analysts forecast earnings per share for 2024 to be $0.89 per share. it looks like earnings per share will fall short of expectations in 2024. Ronald Outlaw, the director of marketing, has a creative idea to improve eamings per share and the return on equity. He proposes the company borrow additional funds and use the proceeds to purchase some of its own stock-treasury shares. Is this a good idea? Required: 1. Calculate the projected earnings per share and return on equity for 2024 before any purchase of stock. Now assume Renegade Clothing borrows $112 million and uses the money to purchase 112,000 shares of its own stock ot $10 per share, The projections for 2024 will change as follows: Calcurate the projected earnings per share and return on equity for 2024 before any purchase of stock. \begin{tabular}{|l|l|l|l|} \hline \multicolumn{2}{|c|}{ Earnings Per Share } \\ \hline Before Purchase & NumeratoriDenominator & \\ \hline & Amounts & \\ \hline & NumeratoriDenominator & & \\ \hline Before Purchase & Amounts & & \\ \hline & & & \\ \hline \end{tabular} Required 2 Calculate the new projected earnings per share and return on equity for 2024 , assuming the company goes through with the treasury stock purchase: (Hint: In computing earnings per share, average shares outstanding is now 931,000=(875,000+ 987,000)/(2. Does the purchase of treasury stock near year-end improve earnings per share and the return on equity ratio? Required 2