Compute return on net operating assets (RNOA) for 2016. Answer: RNOA = Compute return on equity (ROE) for 2016. Answer: ROE = 2015 $ 5,595 90,931 17,908 2,902 5,461 122,797 14,731 12,053 16,939 4,835 3,117 $174,472 MICROSOFT CORPORATION Balance Sheet As of June 30, (in millions) 2016 Current assets: Cash and cash equivalents $ 6,510 Short-term investments 106.730 Accounts receivable, net 18,277 Inventories 2,251 Other current assets 5,892 Total current assets 139,660 Property and equipment, net 18,356 Equity and other investments 10,431 Goodwill 17,872 Intangible assets, net 3,733 Other long-term assets 3,642 Total assets $193,694 Current liabilities: Accounts payable $ 6,898 Short-term debt 12,904 Current portion of long-term debt 0 Accrued compensation 5,264 Income taxes 580 Short-term unearned revenue 27,468 Other current liabilities 6,243 Total current liabilities 59,357 Long-term debt 40,783 Long-term unearned revenue 6,441 Deferred income taxes 1,476 Other long-term liabilities 13,640 Total liabilities 121,697 Stockholders' equity: Common stock and paid-in capital 68,178 Retained earnings 2.282 Accumulated other comprehensive income 1,537 Total stockholders' equity 71,997 Total liabilities and stockholders' equity $193,694 $ 6,591 4,985 2,499 5,096 606 23,223 6,647 49,647 27,808 2,095 1,295 13,544 94,389 68,465 9,096 2,522 80,083 $ 174,472 2015 $75,956 17,624 93,580 MICROSOFT CORPORATION Income Statements For the years ended June 30, (in millions) 2016 Revenue Product $61,502 Service 23,818 Total revenue 85,320 Cost of revenue Product 17,880 Service and other 14,900 Total cost of revenue 32,780 Gross margin 52,540 Research and development 11,988 Sales and marketing 14,697 General and administrative 4,563 Impairment, integration, and restructuring 1,110 Operating income 20,182 Other income (expense), net (431) Income before taxes 19,751 Provision for income taxes 2,953 Net income $16,798 21,410 11,628 33,038 60,542 12,046 15,713 4,611 10,011 18,161 346 18,507 6,314 $ 12,193