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The Walt Disney Company has four major sectors, described as follows: Media Networks: The ABC television and radio network, Disney channel, ESPN, A&E, E!, and

The Walt Disney Company has four major sectors, described as follows:

  • Media Networks: The ABC television and radio network, Disney channel, ESPN, A&E, E!, and Disney.com.
  • Parks and Resorts: Walt Disney World Resort, Disneyland, Disney Cruise Line, and other resort properties.
  • Studio Entertainment: Walt Disney Pictures, Touchstone Pictures, Hollywood Pictures, Miramax Films, and Buena Vista Theatrical Productions.
  • Consumer Products: Character merchandising, Disney stores, books, and magazines.

Disney recently reported sector operating income, revenue, and invested assets (in millions) as follows:

Operating Income Revenue Invested Assets
Media Networks $118,422 $464,400 $774,000
Parks and Resorts 53,286 449,400 642,000
Studio Entertainment 5,175 276,000 345,000
Consumer Products 112,800 507,600 282,000

a. Use the DuPont formula to determine the return on investment for the four Disney sectors. Round profit margin and return on investment to one decimal place and investment turnover to two decimal places.

Profit Margin Investment Turnover ROI
Media Networks: % %
Parks and Resorts: % %
Studio Entertainment: % %
Consumer Products: % %

b. Which two sectors are the most similar in their profit margin, investment turnover, and return on investment? The four sectors are different from each other

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