Nordstrom, Inc. Founded in 1901 as a retail shoe business in Seatile, Nordstrom is one of the nation's leading fashion specialty retailers. The company derives most of its revermue from sales of derives most of its revemue from sales of high-quality etics and accessories at 187 stores located in 28 states. The company also owns a federal savings bank, Nordstrom fsb, which offers credit and debit cards to Nordstrom s retail customers and administers customer loyalty programs. (Source: Company K) 2006 Form 10- Refer to the Nordstrom financial statements for fiscal year 2009 (that is, the fiscal year ended a. What does return on equity (ROE) measure? Why is it important to consider ROE and not January 30, 2010) and the comparative balance sheets for fiscal 2008 and 2007. just net income in dollar terms? RDEis the .net, incene retu mad as a percentage f 8hareholdr b. Refer to Nordstrom's statements of earnings and balance sheets. Use the DuPont ROE disaggregation to complete the table below for Nordstrom. Note: Must show equations and detailed calculations for each ratio underneath the table. Profit AssetReturn on FinancialReturn on marginuoverassetsleverage equity (PM)(AT) (ROA) (FL) (ROE Fiscal 2009 Fiscal 2008 Has Nordstrom's ROE improved or worsened over the two years? Explain why. Hint: use the DuPont analysis's component parts and determine which parts) explain the change in ROE. c. d. TJX, Inc. operates several off-price apparel and home-fashion chains in the United States and worldwide, including TJ Maxx and Marshalls. The company has over 2,700 stores that sell brand-name and designer merchandise at prices that are 20% to 60% below regular department store prices