Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Disaggregate Traditional DuPont ROE Graphical representations of the KLA-Tencor 2018 income statement and average balance sheet numbers (2017-2018) follow ($ thousands). KLA-Tencor Average Balance

image text in transcribed

Disaggregate Traditional DuPont ROE Graphical representations of the KLA-Tencor 2018 income statement and average balance sheet numbers (2017-2018) follow ($ thousands). KLA-Tencor Average Balance Sheet 2017-2018 $2,583,930 $1,473,464 $1,518.371 Operating assets Nonoperating 0 $2.627.235.5 $2,948.529 Nonoperating assets Operating Equity $653,666- KLA-Tencor Income Statement 2018 $800,265 $81,263 0 -$2,499,507 Operating expenses Tax expense Interest expense Net income a. Compute return on equity (ROE). Round answer to two decimal places (ex: 0.12345 = 12.35%) ROE 0 b. Apply the DuPont disaggregation into return on assets (ROA) and financial leverage. Round answers to two decimal places (ex: 0.12345 = 12.35%) ROA 0 FL 0 c. Calculate the profitability and productivity components of ROA. Round profit margin (PM) to two decimal places (ex: 0.12345 = 12.35%) Round asset turnover (AT) to three decimal places. PM 0 AT 0 % d. Confirm the ROE from part a. above with the full DuPont disaggregation: ROE = PM AT FL. Round answer to two decimal places (ex: 0.12345 = 12.35%) 0 %

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

Accounting Information Systems The Processes and Controls

Authors: Leslie Turner, Andrea Weickgenannt

2nd edition

9781118473030, 1118162307, 1118473035, 978-1118162309

More Books

Students also viewed these Accounting questions

Question

Recognize public relations as an important form of communication.

Answered: 1 week ago

Question

16-2. What is the purpose of an institutional advertisement?

Answered: 1 week ago