Question
Selected balance sheet and income statement information for Oracle Corporation follows. (Perform the required computations from the perspective of an Oracle shareholder. $ millions May
Selected balance sheet and income statement information for Oracle Corporation follows. (Perform the required computations from the perspective of an Oracle shareholder. $ millions May 31, 2015 May 31, 2014
Operating assets $52,091 $47,003
Nonoperating assets 54,368 38,819
Total assets 106,459 85,822
Operating liabilities 19,725 18,600
Nonoperating liabilities 41,958 24,097
Total liabilities 61,683 42,697
Total Oracle stockholders' equity 44,776 43,125
Total revenues 38,104
Operating income before tax 13,538
Nonoperating expense before tax 1,037
Tax expense 3,520
Net income 8,981
a. Compute return on equity (ROE) Round answer to two decimal places (ex: 0.12345 = 12.35%) Answer
b. Compute return on net assets (ROA) Round answers to two decimal places (percentage ex: 0.12345 = 12.35%) Answer
c. Compute return on net operating assets (RNOA) Round answers to two decimal places (percentage ex: 0.12345 = 12.35%) Assume a 37% statutory tax rate. Answer %
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