NY Company included the following items in its financial statements for 2014, the current year (amounts in millions):

Requirements
1. Use DuPont Analysis to compute NY Company€™s return on assets and return on common equity during 2014 (the current year). NY Company has no preferred stock outstanding.
2. Do the company€™s rates of return look strong or weak? Give your reason.
3. What additional information do you need to make the decision in requirement2?

Transcribed Image Text:

Payment of long-term debt$8,145 Div Proceeds from issuance dends paid Net sales: $ 324 of common stock Total liabilities: 9,420 Current year60,000 Preceding yer 55,0 Preceding year-end . 38,023 .. 1,884 Preceding year1,997 Current year Total stockholders' equity: Current year-end... Preceding year-end 23,479 Operating income: 9,980 .... 4,008 14,035 Borrowin 4,580 Preceding year