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Compute ROE and RNOA with Disaggregation Selected balance sheet and income statement information for Home Depot follows $ millions Operating assets Nonoperating assets Total assets

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Compute ROE and RNOA with Disaggregation Selected balance sheet and income statement information for Home Depot follows $ millions Operating assets Nonoperating assets Total assets Jan. 31, 2016 $40,333 2,216 42,549 14,918 21,315 36,233 6,316 Feb. 01, 2015 $38,223 1,723 39,946 13,427 17,197 30,624 9,322 Operating liabilities Nonoperating liabilities Total liabilities Total stockholders' equity Sales Net operating profit before tax (NOPBT) Nonoperting expense before tax Tax expense Net income 88,519 11,774 753 4,012 7,009 Round all answers to two decimal places (ex: 0.12345-12.35%) a. Compute return on equity. 89.64 % b. Compute return on net operating assets (RNOA) 0 X% c. Use ROE and RNOA to determine the nonoperating return for the year. 0 X% d. Disaggregate RNOA into components of profitability and productivity and show that the product of the two components equals RNOA. NOPM O X% NOAT 0 RNOA O X% Compute ROE and RNOA with Disaggregation Selected balance sheet and income statement information for Home Depot follows $ millions Operating assets Nonoperating assets Total assets Jan. 31, 2016 $40,333 2,216 42,549 14,918 21,315 36,233 6,316 Feb. 01, 2015 $38,223 1,723 39,946 13,427 17,197 30,624 9,322 Operating liabilities Nonoperating liabilities Total liabilities Total stockholders' equity Sales Net operating profit before tax (NOPBT) Nonoperting expense before tax Tax expense Net income 88,519 11,774 753 4,012 7,009 Round all answers to two decimal places (ex: 0.12345-12.35%) a. Compute return on equity. 89.64 % b. Compute return on net operating assets (RNOA) 0 X% c. Use ROE and RNOA to determine the nonoperating return for the year. 0 X% d. Disaggregate RNOA into components of profitability and productivity and show that the product of the two components equals RNOA. NOPM O X% NOAT 0 RNOA O X%

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