Financial information for American Eagle is presented in Appendix A$,$ and financial information for Buckle is presented in Appendix B$.$

Required:

$1-$a$.$ Calculate the return on equity for American Eagle and Buckle for the most recent year.

$1-$b$.$ Which company is more profitable?

$2.$ Determine the amount reported for basic earnings per share $($or net income per share$)$ for the most recent year for each company. Basic earnings per share are provided for each company near the bottom of the income statement.

$3.$ Determine the amount of dividends per share for the most recent year for each company. $($Hint: Find dividends per share in the statement of stockholders$$ equity$).$ Using your answers for requirement $2,$ which company has a higher ratio of cash dividends to earnings? Which company has more treasury stock purchases?