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I have other questions posted that continue this series of questions. Click on the following Icone in order to past this table's content into a
I have other questions posted that continue this series of questions.
Click on the following Icone in order to past this table's content into a spreadsheet. Financial Information ($ in millions, 2013) Company Sales Net Income Total Assets Liabilities PepsiCo $66,413 $6,798 $77,339 $53,188 Coca-Cola $46,825 $8,546 $89,922 $56,870 McDonald's $28,112 $5,880 $36,569 $20,516 DuPont identity. For the firms in the popup window, find the return on equity using the three components of the DuPont identity: operating efficiency, as measured by the profit margin (net income/sales); asset management efficiency, as measured by asset turnover (sales/total assets); and financial leverage, as measured by the equity multiplier (total assets/total equity). First, find the equity of each company. The equity for PepsiCo is $1 million. (Round to the nearest million dollars.) The equity for Coca-Cola is $0 million. (Round to the nearest million dollars.) The equity for McDonald's is $0 million. (Round to the nearest million dollars.) Next, calculate the three components of the DuPont identity. The profit margin for PepsiCo is %. (Round to two decimal places.)Step by Step Solution
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