Compute ROA and adjusted ROA The following information was reported by RR Donnelley & Sons in its form 10-K. Use this information to answer the requirements.

$ in millions December 31, 2015 December 31, 2014 Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 138.4 $ 120.8 Interest expense, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204.1 211.2 Average total assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,444.1 7,438.8

a. What managerial insight does the ‘adjusted return on assets’ ratio offer as compared to the usual ROA metric?

b. Compute (i) return on assets, and (ii) the adjusted return on assets, for each year. (iii) Are the two ratios materially different from each other? Explain.