L01, 2, 3 E3-38.Disaggregate Traditional DuPont ROE Graphical representations of the KLA-Tencor 2018 income statement and average balance sheet numbers

(2017-2018) fo llow($ thousands).

Average Balance Sheet 2017-2018

a. Compute return on equity (ROE).

b. Apply the DuPont disaggregation into return on assets (ROA) and financ ial leverage.

c. Calculate the profitability and productivity components of ROA.

d. Confirm the ROE from part

a. above with the full DuPont disaggregation: ROE= PM x AT x FL.
KLA-TENCOR CORPORATION (KLAC) • feJ Data Analytics

Transcribed Image Text:

Average Balance Sheet 2017-2018 $1,473,464 $2,583,930 $1,518,371 $2,627,235.5 $2,948,529 $653,666 Income Statement 2018 $802,265 $81,263 -$2,499,507 Operating assets Nonoperating assets Operating liabilities Nonoperating liabilities Equity Operating expenses Tax expense Interest expense, net Net income