Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Compute RNOA with Disaggregation Selected balance sheet and income statement information for Home Depot follows. $ millions Jan. 31, 2016 Feb. 01, 2015 $40,583 $38,473

image text in transcribed

Compute RNOA with Disaggregation Selected balance sheet and income statement information for Home Depot follows. $ millions Jan. 31, 2016 Feb. 01, 2015 $40,583 $38,473 Operating assets Nonoperating assets 2,241 1,748 Total assets 42,824 40,221 15,018 13,527 Operating liabilities Nonoperating liabilities 21,285 17,167 Total liabilities 36,303 30,694 Sales 88,999 Net operating profit before tax (NOPBT) 12,024 Nonoperting expense before tax 778 Tax expense 4,088 Net income 7,158 Round answers to two decimal places (ex: 0.12345 = 12.35%). a. Compute return on net operating assets (RNOA). Assume a statutory tax rate of 37%. b. Disaggregate RNOA into components of profitability and productivity and show that the product of the two components equals RNOA. Assume a statutory tax rate of 37%. NOPM X % NOAT X Check

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

People Centric Skills Interpersonal And Communication Skills For Financial Professionals

Authors: Danny M. Goldberg

2nd Edition

1119669308, 978-1119669302

More Books

Students also viewed these Accounting questions

Question

What is the final temperature and pressure of the gas?

Answered: 1 week ago

Question

Describe a persuasive message.

Answered: 1 week ago

Question

Identify and use the five steps for conducting research.

Answered: 1 week ago

Question

List the goals of a persuasive message.

Answered: 1 week ago