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I'm looking for profitability data on McDonald's corporation from 2015 to 2016 compared with Wendy's. I've attached what I have so far but I don't
I'm looking for profitability data on McDonald's corporation from 2015 to 2016 compared with Wendy's. I've attached what I have so far but I don't know if it's right and I'm struggling with the Modified DuPont Equation for 2016. Please help!
(4) PROFITABILITY: FY 2016 FY 2015 19.05 .090 17.83 .075 Net profit Margin: McDonalds Wendy's Return on Assets: McDonalds Wendy's .151 or 15% .286 or 28% .119 or 11% .227 or 22% McDonalds Wendy's (2.13) or (213)% .25 or 25% .63 or 63% 18.6 or 18% Return on Equity: Modified Du Pont Equation, FY 2016: 15.11 = 19.03% x .79 x ____? Net Profit Margin Total Asset Turnover Equity Multiplier McDonalds 19.03% .71 ____ Wendy's 9.32% .36 ____ Comments On McDonalds Profitability: The primary reason for the decrease in Return on Equity (ROE) over 2016 year is the decrease in Financial Leverage. The primary reason for the increase in Return on Assets (ROA) over 2016 year is the increase in Asset TurnoverStep by Step Solution
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