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roe, roa, financial leverage,disagregate Roa in to profability, asset turnover Apply DuPont Disaggregation of ROE Selected balance sheet and income statement information for Home Depot

roe, roa, financial leverage,disagregate Roa in to profability, asset turnover

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Apply DuPont Disaggregation of ROE Selected balance sheet and income statement information for Home Depot follows. $ millions Jan. 31, 2016 Feb. 01, 2015 Operating assets $40,583 $38,473 Nonoperating assets 2,241 1,748 Total assets 42,824 40,221 Operating liabilities 15,018 13,527 Nonoperating liabilities 21,340 17,222 Total liabilities 36,358 30,749 Total stockholders' equity 6,466 9,472 Sales 88,944 Net operating profit before tax (NOPBT) 12,024 Nonoperting expense before tax 778 Tax expense 4,208 Net income 7,038Round answers to two decimal places (ex: 0.12345 = 12.35%) a. Compute ROE and disaggregate the ratio into its DuPont components of ROA and financial leverage. ROE: 0 % ROA: 0 % Financial leverage: b. Disaggregate ROA in to profitability and productivity components. Profit margin % Asset turnover

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