Question: For the year ended September 29, 2012, Apple, Inc., reported net income of $41,733 million. Total shareholders equity on this date was $118,210 million, and

For the year ended September 29, 2012, Apple, Inc., reported net income of $41,733 million. Total shareholders’ equity on this date was $118,210 million, and on September 24, 2011, it was $76,615 million. No preferred stock was outstanding in either year.

Required
1. Compute Apple’s return on common stockholders’ equity for the year ended September 29, 2012.
2. What other ratio would you want to compute to decide whether Apple is successfully employing leverage? Explain your answer.

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