Advanced Dupont Analysis (20 points)
Use the Southwest Airlines financial statements to the right:
Calculate the operating and nonoperating return using Advanced Dupont analysis.
Show that the operating + nonoperating return = ROE.
Assume an effective tax rate of 22.2%. Be very careful about the sign of interest expense!

Advanced Dupont Analysis [ 20 points] Use the Southwest Airlines financial statements to the right: Calculate the operating and nonoperating return using Advanced Dupont analysis Show that the operating + nonoperating return =RDE. Assume an effective tax rate of 22.2%. Be very careful about the sign of interest expense! SOUTHWEST AIRLINES 2019 FINANCIAL STATEMENTS INCOME STATEMENT BALANCE SHEET Advanced Dupont Analysis [ 20 points] Use the Southwest Airlines financial statements to the right: Calculate the operating and nonoperating return using Advanced Dupont analysis Show that the operating + nonoperating return =RDE. Assume an effective tax rate of 22.2%. Be very careful about the sign of interest expense! SOUTHWEST AIRLINES 2019 FINANCIAL STATEMENTS INCOME STATEMENT BALANCE SHEET