Please use the selected financial data for Campbell Soup (CPB) to perform the following activity. Make sure you answer the question and show your calculations.

Decompose the return on assets and return on equity using the short and long versions of the DuPont Equation (ROA = Net Margin X Asset Turnover; ROE = Net Margin X Asset Turnover X Equity Multiplier). Which of the components in each version explain the observed trend in the ROA and ROE in the last five years? Please note that the Financial Leverage Ratio is also known as the Equity Multiplier.

Profitability and Financial Position for Campbell Soup Co (CPB)
	2018-07	2017-07	2016-07	2015-07	2014-07		Equity and Debt
Revenue USD Mil	8,685	7,890	7,961	8,082	8,268		Equity	1,364.00
Operating Income USD Mil	1,122	1,630	1,105	1,203	1,253		Debt	9,893.00
Operating Margin	12.9%	20.7%	13.9%	14.9%	15.2%
Net Income USD Mil	261	887	563	691	818		Long Term Debt
Shares Mil	302	307	311	313	316		Coupon %	Maturity	Price $	Yield %	Face Value $	(Price/100) x Face Value
Earnings Per Share USD	0.86	2.89	1.81	2.21	2.59		Variable	3/16/2020	99.536	2.834	500,000,000	497680000
Dividends Per Share USD	1.4	1.4	1.24	1.24	1.24		Variable	3/15/2021	98.835	2.964	400,000,000	395340000
Operating Cash Flow USD Mil	1,305	1,291	1,463	1,182	899		3.3	3/15/2021	98.963	3.773	650,000,000	643259500
Cap Spending USD Mil	-407	-338	-341	-380	-347		4.25	4/15/2021	100.885	3.857	500,000,000	504425000
Free Cash Flow USD Mil	898	953	1,122	802	552		8.875	5/1/2021	111.812	3.775	200,000,000	223624000
							2.5	8/2/2022	95.353	3.865	450,000,000	429088500
Key Ratios -> Profitability	2018-07	2017-07	2016-07	2015-07	2014-07		3.65	3/15/2023	96.481	4.559	1,200,000,000	1157772000
COGS % of Sales	67.58	61.23	65.08	65.29	64.95		3.95	3/15/2025	94.83	4.913	850,000,000	806055000
Gross Margin % of Sales	32.42	38.77	34.92	34.71	35.05		3.3	3/19/2025	90.885	4.998	300,000,000	272655000
Operating Margin	12.9%	20.7%	13.9%	14.9%	15.2%		4.15	3/15/2028	92.389	5.191	1,000,000,000	923890000
Net Margin	3.01%	11.24%	7.07%	8.55%	9.89%		3.8	8/2/2042	72.248	6.011	400,000,000	288992000
Return on Assets %	2.35	11.4	7.07	8.53	9.95		4.8	3/15/2048	83.157	6.031	700,000,000	582099000
Return on Equity %	17.39	56.1	38.76	46.14	57.77		Total				7,150,000,000	6,724,880,000
Return on Invested Capital %	5.48	18.77	12.09	13.76	15.9
							Last Stock Price	Mkt Cap	Beta	Tax Rate
-> Liquidity/Financial Health	2018-07	2017-07	2016-07	2015-07	2014-07		39.52	12.19 bil	-0.1846	30%
Current Ratio	0.64	0.79	0.75	0.75	0.7		Growth per year*
Quick Ratio	0.28	0.39	0.36	0.32	0.3		-1.35
Financial Leverage	10.65	4.72	5.14	5.86	5.02		*Estimated
Debt/Equity	5.86	1.53	1.52	1.85	1.39
Interest Coverage	2.35	12.54	8.38	10.17	9.8
Working Capital USD Mil	-1,298	-495	-647	-714	-889
-> Efficiency Ratios
Receivables Turnover	12.5	12.82	12.51	12.27	12.67
Inventory Turnover	5.59	5.25	5.36	5.25	5.53
Fixed Assets Turnover	3.05	3.25	3.35	3.46	3.61
Asset Turnover	0.78	1.01	1	1	1.01
Total Return %	To Date	1-Year	3-Year	5-Year	10-Year	15-Year
CPB	-21.68	-18.77	-7.07	1.18	2.35	4.65
Packaged Foods	-13.25	-8.68	0.67	4.3	8.09	8.8
S&P 500 TR USD	10.56	17.91	17.31	13.95	11.97	9.65