Question
Compute, Disaggregate, and Interpret ROE Selected fiscal year balance sheet and income statement information for the computer chip maker, Intel Corporation, follows ($ millions) Balance
Compute, Disaggregate, and Interpret ROE Selected fiscal year balance sheet and income statement information for the computer chip maker, Intel Corporation, follows ($ millions)
Balance sheet information ($ millions) | 2014 | 2013 | 2012 |
---|---|---|---|
Total assets | $91,956 | $92,358 | $84,351 |
Total shareholders' equity | 55,865 | 58,256 | 51,203 |
Income statement information ($ millions) | 2014 | 2013 | 2012 |
Sales revenue | $55,870 | $52,708 | $53,341 |
Interest expense | 192 | 244 | 90 |
Net income | 11,704 | 9,620 | 11,005 |
a. Calculate Intels return on equity (ROE) for fiscal years 2014 and 2013. Round answers to one decimal place (i.e., 0.2568 = 25.7%). Do not round until your final answer.
2014 | Answer |
2013 | Answer |
b. Calculate Intels return on assets (ROA) and return on financial leverage (ROFL) for each year. Round answers to one decimal place (i.e., 0.2568 = 25.7%). Do not round until your final answer.
ROA | ROFL | |
---|---|---|
2014 | Answer | Answer |
2013 | Answer | Answer |
c. Use the DuPont formulation in the Business Insight on page 230 to analyze the variations in Intels ROE over this period. Calculate net profit margin, asset turnover, and financial leverage. Do not round until your final answer. Round answers to one decimal place (i.e., 0.2568 = 25.7%).
NPM | AT | FL | |
---|---|---|---|
2014 | Answer | Answer | Answer |
2013 | Answer | Answer | Answer |
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