Cornerstones of Managerial Accounting 4th Edition by Maryanne Mowen, Don Hansen, Dan Heitger

Exercise 13

The income statement, statement of retained earnings, and balance sheet for Somerville Company are as follows:
Calculating the Average Common Stockholders Equity and the Return on Stockholders Equity
Refer to the information for Somerville Company on the previous page.
Required:
Note: Round answers to two decimal places.
1. Calculate the average common stockholders' equity.
2. Calculate the return on stockholders' equity.