Make the following assumptions about the above data.

All assets are operating assets.

All current liabilities are operating liabilities.

Non$-$current liabilities are loans that bear interest at $8\%.$

EMI $($Equity Method Investments$)$ investees' tax rate is $22\%.$

The following information is derived from the $2018$ form $10-$K for Cummins Inc., the investor company.

Hint: You should be able to compute the following for Cummins' investee companies:

a$.$ Compute net operating profit after tax $($NOPAT$)$ for the EMI investees.

Round to the nearest whole number.

$$,$ million

b$.$ Compute net operating assets $($NOA$)$ and net nonoperating obligations $($NNO$)$ for the EMI investees.

NOA $,$ million

NNO

million

First, compute the adjusted balances. $($Use a negative sign with adjustment answer if it reduces the unadjusted amount.$)$

Next, compute the following ratios: $1.$ using Cummins' figures $($unadjusted$)$ and $2.$ using the adjusted balances as computed above.

Round RNOA, NOPM, and ROE to one decimal place $($ex: $0\mathrm{.}2345=23\mathrm{.}5\%)$

Round NOAT and FLEV to two decimal places.

Hint: Adjusted Net income is $$2,452$ million.

Next, compute the following ratios: $1.$ using Cummins' figures $($unadjusted$)$ and $2.$ using the adjusted balances as computed above.

Round RNOA, NOPM, and ROE to one decimal place $($ex: $0\mathrm{.}2345=23\mathrm{.}5\%)$

Round NOAT and FLEV to two decimal places.

Hint: Adjusted Net income is $$2,452$ million.

$**$ Just figure out the unadjusted$/$adjusted table at the end with RNOA, NOPM, ROE, NOAT, and FLEV.