For Part B:

Walmart has an inferior profit margin, (LOWER or HIGHER), asset turnover and a (LOWER or HIGHER) equity multiplier. Wal-Mart has a (SMALLLER or LARGER) ROE that is driven by it's asset turnover and leverage.

For fiscal year 2018, Wal-Mart Stores, Inc. (WMT) had total revenues of $500.34 billion, net income of $9.86 billion, total assets of $204.52 billion, and total shareholders' equity of $77.87 billion. a. Calculate Walmart's ROE directly, and using the DuPont Identity. b. Comparing with the data for Costco, use the DuPont Identity to understand the difference between the two firms' ROES. a. The ROE calculated directly is%. (Round to two decimal places.) The ROE calculated using the Dupont Identity is%. (Round to two decimal places.) b. Wal-Mart has a inferior profit margin, a Data table asset turnover and a For fiscal year 2018, Costco Wholesale Corporation (COST) had a net profit margin of 2.08%, asset turnover of 3.55, and a book equity multiplier of 3.37. Costco's ROE (DuPont) is 24.88%. Print equity multiplier. Wal-Mart has a Done - ... ROE that is driven by it's asset turnover and leverage. X