Here are selected financial details for Johnson & Johnson and Merck & Co., Inc. for the fiscal year 2023:

($ millions)	Johnson & Johnson	Merck & Co., Inc.
Net sales	$95,000	$82,100
Cost of sales	35,000	30,500
Gross profit	60,000	51,600
Operating expenses:
Selling, general, and administrative	23,000	20,200
Research and development	11,000	8,700
Operating income	26,000	22,700
Interest and other (income) expense	1,800	1,200
Interest and investment income	(600)	(400)
Earnings before provision for income taxes	24,800	21,900
Provision for income taxes	7,500	6,800
Net earnings	$17,300	$15,100

Required: a. Compute the return on equity (ROE), return on assets (ROA), and return on financial leverage (ROFL) for Johnson & Johnson and Merck & Co., Inc. Assume a tax rate of 35%. b. Break down the ROA into profit margin (PM) and asset turnover (AT) for both companies. Identify the primary drivers of their ROA. c. Assess the operating cash flow for both companies over the last three years. How does this impact their ability to invest in new projects? d. Evaluate the inventory turnover ratio for Johnson & Johnson and Merck & Co., Inc. What does it reveal about their inventory management efficiency? e. Compare the operating profit margins of Johnson & Johnson and Merck & Co., Inc. What insights can be drawn about their cost control and profitability?