Data analytics is the process of examining data sets in order to draw conclusions about the information they contain. If you haven’t completed any of the prior data analytics cases, follow the instructions listed in the Chapter 1 Data Analytics case to get set up. You will need to watch the videos referred to in the Chapters 1 - 3 Data Analytics cases. No additional videos are required for this case. All short training videos can be found here: https://www.tableau.com/learn/training#getting-started. In the Data Analytics Cases in the previous chapter, you used Tableau to examine two (hypothetical) publicly traded companies: GPS Corporation and Tru, Inc. regarding changes in the funded status of their pension plans during the previous ten years as well as the way components of pension expense are reported in the income statement. This time, you investigate the ability of the two companies to provide a return to the investors who buy the companies’ stock. 

Required: 

For each of the two companies in the most recent five-year period, 2017-2021, use Tableau to calculate and display the trends for (a) the debt to equity ratio, (b) the rate of return on shareholders’ equity [Net income/Shareholders’ equity], and (c) the rate of return on assets [Net income / Total assets]. Based upon what you find, answer the following questions: 

1. Which of the two companies, GPS Corporation or Tru, Inc., finances a higher percentage of its assets by borrowed funds relative to funds invested by shareholders as measured by the debt to equity ratio in 2021? 

2. Which of the two companies, GPS Corporation or Tru, Inc., indicates a higher profitability during the period 2017-2021 without regard to the sources of financing as measured by the return on assets ratio? 

3. Which of the two companies, GPS Corporation or Tru, Inc., indicates a higher effectiveness of employing resources provided by owners during the period 2017-2021 as measured by the return on shareholders’ equity ratio?

4. Management is using its borrowed funds to enhance the earnings for shareholders of (a) GPS Corporation, (b) Tru, Inc., (c) both firms, or (d) neither firm during the period 2017-2021?