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Apply DuPont Disaggregation of ROE Selected balance sheet and income statement information for Home Depot follows. $ millions Jan. 31, 2016 Feb. 01, 2015 Total

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Apply DuPont Disaggregation of ROE Selected balance sheet and income statement information for Home Depot follows.

$ millions Jan. 31, 2016 Feb. 01, 2015
Total assets $43,179 $40,576
Total liabilities 36,413 30,804
Sales 89,599
Net income 7,013

Round answers to two decimal places (ex: 0.12345 = 12.35%)

a. Compute ROE and disaggregate the ratio into its DuPont components of ROA and financial leverage. ROE: Answer

% ROA: Answer

% Financial leverage: Answer

b. Disaggregate ROA in to profitability and productivity components. Profit margin Answer

% Asset turnover Answer

Questior 2 Partially correct Mark 2.00 out of 5.00 Flag question Apply DuPont Disaggregation of ROE Selected balance sheet and income statement information for Home Depot follows. S millions Jan. 31, 2016 Feb. 01, 2015 Total assets $43,179 $40.576 Total liabilities 36,413 30,804 Sales 89,599 Net income 7,013 Support Round answers to two decimal places (ex: 0.12345 = 12.35%) a. Compute ROE and disaggregate the ratio into its DuPont components of ROA and financial leverage. ROE: 20.9 X % ROA: 16.75 Financial leverage: 6.4 b. Disaggregate ROA in to profitability and productivity components. Profit margin 7.83 Asset turnover 2.08 X Check Partially correct Marks for this submission: 2.00/5.00

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