Selected balance sheet and income statement information for the drug retailers CVS Corporation and Walgreen Company follows.

a. Compute the 2007 return on net operating assets (RNOA) for each company.
\(b\). Disaggregate RNOA into net operating profit margin (NOPM) and net operating asset turnover (NOAT) for each company.

c. Discuss any differences in these ratios for each company. Identify the factor(s) that drives the differences in RNOA observed from your analyses in parts \(a\) and \(b\).

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2007 Net 2007 2007 Operating 2006 Net Operating Company ($ millions) Ticker Sales NOPAT Assets Assets CVS Corporation..... CVS $76,330 $2,901 $41,776 $14,975 Walgreen Company ... WAG 53.762 2.017 11,983 9,701 *In 2007, CVS acquired Caremark Rx, Inc.