Return on equity $($ROE$)$ is normally calculated using Blank$\_\_\_\_\_\_.$

Multiple choice question.

net income in the numerator and average stockholders' equity in the denominator

net income in the numerator and year$-$end stockholders' equity in the denominator

operating income in the numerator and year$-$end stockholders' equity in the denominator

net income in the denominator and average stockholders' equity in the numerator