Abercrombie, like Deckers Outdoor and Wolverine, operates in the apparel industry. Selected financial data for Abercrombie is provided as follows:
($ in millions) 2012 2011
Sales $ 4,140
Net income 260
Total assets $ 2,976 $ 3,381
Total liabilities $ 1,246 $ 1,111
Stockholders' equity 1,730 2,270
Total liabilities and stockholders' equity $ 2,976 $ 3,381
Shares outstanding (in millions) 84.6
Stock price $ 36
1. Calculate the return on equity for Abercrombie in 2012. (Enter your answers in millions, not in dollars. Round your answers to 1 decimal place.)
Problem 10-7A Part 2
2. Calculate the return on the market value of equity for Abercrombie in 2012. (Enter your answers in millions, not in dollars. Round your answers to 1 decimal place.)
Problem 10-7A Part 4
4. Calculate the price-earnings ratio for Abercrombie in 2012. (Enter your answers in millions, not in dollars. Round your answers to 2 decimal places.)