Adobe Corporation had net income of $120,000 in 20x4 and $164,000 in 20x5.Total stockholders' equity at the end of 20x4 was $760,000 and total stockholders' equity at the end of 20x5 was $820,000.Adobe's total assets at the end of 20x4 were $1,320,000 and its total assets at the end of 20x5 were $1,410,000.Based on this information,what is Adobe's return on equity for 20x5?

Question

Quizplus · Accepted Answer

Return on equity = Net income / Total stockholders' equity= 164,000 / 820,000= 0.2000= 20.00%

Adobe Corporation Had Net Income of $120,000 in 20x4 and $164,000