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

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Disaggregate Traditional DuPont ROE Graphical representations of the KLA-Tencor 2018 income statement and average balance sheet numbers (2017-2018) follow ($ thousands). KLA-Tencor Income Statement 2018 KLA-Tencor Average Balance Sheet 2017-2018 $1,473,464 $2,627,235.5 $802,265 $2,583,930 o O $653,666 - -$2,499,507 $2.948,529 $81,263 $1,518,371' Operating assets Nonoperating assets Operating liabilities Nonoperating liabilities Equity Operating expenses Interest expense, net Tax expense Net Income a. Compute return on equity (ROE). Round answer to two decimal places (ex: 0.12345 = 12.35%) ROE % b. Apply DuPont disaggregationi on asse ROA) and financial leverage. Round answers to two decimal places (ex: 0.12345 = 12.35%) ROA % FL 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 % AT 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%) %

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