Suppose that an analyst has noticed that the return on equity of the XYZ Company has declined from 2012 to 2013.

(millions)	2013	2012
Sales	$1,000	$900
Earnings before interest and taxes	$400	$380
Interest expense	$30	$30
Taxes	$100	$90
Total assets	$2,000	$2,000
Shareholders equity	$1,250	$1,000

Fill in the following table (please show detailed calculations for each ratio, including the formula used, below that table):

2013 2012

Return on equity

Return on assets

Financial leverage ratio

Total asset turnover

Net profit margin

Operating profit margin

b.Using the DuPont formula, explain the source of this decline.