Compute the return on equity for the current and prior years


Question: Chipotle Mexican Grill, Inc. is one of the fast-growing restaurant chains. Selected statement of earnings and statement of financial position amounts (in thousands) for two recent years are presented below: Current Year Prior Year Net earnings $ 355,766 $ 350,158 Average shareholders' equity 1,851,580 1,562,183 required: 1. Compute the return on equity for the current and prior years and explain the meaning of the change. 2. Would security analysts more likely increase or decrease their estimates of share value on the basis of this change? Explain.

 

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Accounting Basics: Compute the return on equity for the current and prior years
Reference No:- TGS03417366

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