1) Calculate the VRE (Value of ROE) of each stock listed. (Record the company name and VRE) ROE ROA Beta P/E Ratio 10.5% 8.86% .95 23 14% 1.85% 1.32 7 40.4% 7.21% .40 22 45% 7.77% 1.36 15 Company Apple McDonald's Proctor & Gamble Exxon Mobil VRE 2) Based upon your calculations, which stock would a value investor be most interested in from the following list? Why?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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1) Calculate the VRE (Value of ROE) of each stock listed. (Record the company name and VRE)
Company
ROE
ROA
Beta P/E Ratio VRE
Apple
10.5%
8.86%
.95 23
14%
1.85%
1.32 7
40.4%
7.21%
.40 22
45%
7.77% 1.36 15
McDonald's
Proctor & Gamble
Exxon Mobil
2) Based upon your calculations, which stock would a value investor be most interested in from the following
list? Why?
1
A▾ B I EE
22
!
Transcribed Image Text:1) Calculate the VRE (Value of ROE) of each stock listed. (Record the company name and VRE) Company ROE ROA Beta P/E Ratio VRE Apple 10.5% 8.86% .95 23 14% 1.85% 1.32 7 40.4% 7.21% .40 22 45% 7.77% 1.36 15 McDonald's Proctor & Gamble Exxon Mobil 2) Based upon your calculations, which stock would a value investor be most interested in from the following list? Why? 1 A▾ B I EE 22 !
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