In 2018, Costco's return on equity (ROE) is 26.59% and its return on net operating assets (RNOA) is 26.52%. Assume that the combined federal and state statutory tax rate is 22%.

a. Compute net nonoperating expense (NNE) and net operating profit after tax (NOPAT).Round to the nearest whole number, if applicable. 2018 NNE $Answer

million 2018 NOPAT $Answer

million

b. Compute net nonoperating obligations (NNO) for 2018 and 2017. 2018 NNO $Answer

million 2017 NNO $Answer

million

c. Compute financial leverage (FLEV). Round answer tofour decimal places. 2018 FLEV Answer

d. Compute NNEP and Spread.Round answers totwo decimal places(example: 0.12345 = 12.35%). 2018 NNEP Answer

% 2018 Spread Answer

%

e. Compute the noncontrolling interest ratio (NCI ratio).Round answer tofour decimal places. 2018 NCI Ratio Answer

f. Confirm the relation: ROE = [RNOA + (FLEV Spread)] NCI ratio. 2018 ROE =Answer

% = [Answer

%+(Answer

X Answer

%)] X Answer