1. (20 pts)Based on the financial report of Macy's, find out the Return on Assets, Return on Equity, Profit Margin, and C2C. The formulas are provided below: Net Income ROE= Average Shareholder Equity Earnings before interest Net income + [Interest expense x (I Tax rate)] ROA Average total assets Earnings before interest ROA = (Profit margin) x Sales revenue Average total assets Sales revenue Total assets (Asset turnover) Sales revenue ART = INVT = Accounts receivable Cost of goods sold Inventories Cost of goods sold :APT= Accounts payable C2C = -> weeks payable (1/APT) + weeks in inventory (I/INVT) + weeks receivable (1/ART) Macy's Net operating revenues 27,686 Cost of goods sold 16,538 Gross profit 11,148 Selling, general, and administrative expense 8,482 Operating income 2,661 Interest expense 425 Other income (loss) - net (134) Income before income taxes 2,102 Income taxes Net income Assets 767 1,198 Cash and cash equivalents 1,836 Net receivables 371 Inventories 5,308 Total current assets 7,876 Property, plant and equipment 8,196 Goodwill 3,743 Other assets 615 Total assets: 20,991 Liabilities and Stockholder Equity Accounts payable 4,951 Short term debt 124 Total current liability 5,075 Long-term debt 6,806 Total liabilities 14,940 Stockholder equity 6,051