Computing and Disaggregating Return on Equity Following are selected balance sheet and income statement information from a recent annual report for a company. $ millions Income statement information: Sales April 2, 2020 March 28, 2019 $14,460 $14,902 Net income 792 1,404 Balance sheet information: Total assets 12,426 Total stockholders' equity 7,488 12.212 7,782 Answer the following questions, entering the answers rounded to two digits after the decimal; for example, enter 1.42 for 1.424, or 1.43 for 1.425. a. Calculate Ralph Lauren's return on equity for the fiscal year ended April 2, 2020. 0.11 b. Disaggregate return on equity to its DuPont components of activity (profit margin), activity (asset turnover), and leverage (financial leverage). Demonstrate how the product of the components is equal to return on equity. Profit margin x Asset turnover Financial leverage Return on equity $ 792 $ 14,460 $ $ 14,460 x $ 12.319 $ 12,319 = 7.365