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Computing Return on Equity and Return on Assets The following table contains financial statement information for Walmart Inc. $ millions Total Assets Net Income Sales
Computing Return on Equity and Return on Assets The following table contains financial statement information for Walmart Inc. $ millions Total Assets Net Income Sales Equity 2018 2017 2016 $263,154 245,426 238,590 $7,337 $459,296 $86,995 10,848 446,185 93,443 15,007 433,185 93,358 a. Compute return on equity (ROE) for the two recent years. b. Compute return on assets (ROA) for the two recent years. c. Compute profit margin (PM) for the two recent years. d. Compute asset turnover (AT) for the two recent years. Round ROE, ROA and PM to one decimal place (example: 0.2345 = 23.5%). Round AT to two decimal places (example: 1.35). 2018 2017 ROE F ROA 96 96 96 % 96 PM AT e. Which of the following best explains the change in ROA during 2018? The company's profitability weakened considerably. OThe company's asset productivity weakened considerably. OThe company had higher sales in 2018. OThe company had higher assets 2018
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