C4Q1

Compute, Disaggregate, and Interpret RNOA of Competitors Halliburton and Schlumberger compete in the oil field services sector. Refer to the following 2018 financial data for the two companies to answer the requirements. $ millions HAL SLB Total revenue $25,195 $34,456 Pretax net nonoperating expense 686 447 Net income 1,491 1,959 Average operating assets 21,025 61,052 Average operating liabilities 6,182 17,324 Marginal tax rate 2296 19% Return on equity 18.569 5.8696 a. Compute return on net operating assets (RNOA) for each company. b. Disaggregate RNOA into net operating profit margin (NOPM) and net operating asset turnover (NOAT) for each company. Do not round until your final answer. Round answers to two decimal places (percentage example: 0.12345 = 12.35%). HAL SLB 096 096 NOPM 096 096 NOAT 0 0 RNOA