Consider the following balance sheet and income statement for Yum! Brands Inc. (the company that operates Kentucky Fried Chicken and Pizza Hut), in condensed form, including some information from the cash flow statement:

Required

Calculate the following ratios for Yum! Brands in 2015 and 2016. Round your calculations to 1 decimal place.

1. Gross margin percent.

2. Return on assets (ROA).

3. Return on equity (ROE).

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Yum! Brands Inc. Balance Sheet 2016 2015 2014 $ 313 Cash and short-term Investments 704 673 Accounts receivable 370 324 380 Inventory 36 40 301 Other current assets 372 1,010 292 Long-lived assets 3,996 5,478 $ 1,369 11,134 6,374 8,061 $ 3,087 6,704 8,350 $ 2,410 Total assets Current liabilities Total liabilities 7,086 6,730 Noncontrolling interest Shareholders' equity Total liabilities and equity 64 10 1,610 $ 8,350 (5,656) $ 5,478 911 $ 8,061 Income Statement $ 6,366 3,498 $ 2,868 $ 1,625 $ 6,440 3,647 $ 2,793 $ 1,402 141 $ 6,587 3,870 $ 2,717 $ 1,517 Sales Cost of sales Gross margin Earnings before interest and taxes Interest 307 143 368 Тахes 324 325 Income from discontinued operations 625 357 45 $ 1,619 $ 1,293 $ 1,051 Net income 2$ 4.11 Share price Earnings per share Number of outstanding shares (millions) 63 53 52 2.97 420 2.37 355 444 Cash Flows $ 1,204 $ 1,213 461 $ 1,217 Cash flow from operations Capital expenditures Dividends 422 508 669 744 730