Hewlett-Packard Company reports that its organizational structure is based on a number of factors that management...
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Hewlett-Packard Company reports that its "organizational structure is based on a number of factors that management uses to evaluate, view and run its business operations." In its disclosures of segment information, there are seven segments-Personal Systems, Printing, Enterprise Group, Enterprise Services, Software, HP Financial Services, and Corporate Investments. The company provides the following information about these business segments: Year 2 Year 1 ($ millions) Total net revenue: Personal Systems Printing Enterprise Group Enterprise Services Software HP Financial Services Corporate Investments Earnings from operations: Personal Systems Printing Enterprise Group Enterprise Services Software HP Financial Services Corporate Investments Total assets: Personal Systems Printing Enterprise Group Enterprise Services Software HP Financial Services Corporate Investments $39,574 $40,741 25,783 25,764 35,954 35.529 22,241 20,356 3,217 2,729 3,596 3,047 302 24 $2,750 $2,032 4,373 4,412 5,549 5,661 3,426 2,825 1,098 782 748 281 (199) (316) $15,781 $16,548 11,939 12,514 40,614 41,989 17,539 18,262 21,028 9,979 13,543 12,123 34 105 Calculate the Year 2 Return on Capital Employed for the following segments: Personal Systems, Printing, and Corporate Investments. (Base the calculation on total assets instead of net operating assets in the denominator-HP does not disclose operating liabilities by segment.) (Round your answer to one decimal place.) Hewlett-Packard Company reports that its "organizational structure is based on a number of factors that management uses to evaluate, view and run its business operations." In its disclosures of segment information, there are seven segments-Personal Systems, Printing, Enterprise Group, Enterprise Services, Software, HP Financial Services, and Corporate Investments. The company provides the following information about these business segments: Year 2 Year 1 ($ millions) Total net revenue: Personal Systems Printing Enterprise Group Enterprise Services Software HP Financial Services Corporate Investments Earnings from operations: Personal Systems Printing Enterprise Group Enterprise Services Software HP Financial Services Corporate Investments Total assets: Personal Systems Printing Enterprise Group Enterprise Services Software HP Financial Services Corporate Investments $39,574 $40,741 25,783 25,764 35,954 35.529 22,241 20,356 3,217 2,729 3,596 3,047 302 24 $2,750 $2,032 4,373 4,412 5,549 5,661 3,426 2,825 1,098 782 748 281 (199) (316) $15,781 $16,548 11,939 12,514 40,614 41,989 17,539 18,262 21,028 9,979 13,543 12,123 34 105 Calculate the Year 2 Return on Capital Employed for the following segments: Personal Systems, Printing, and Corporate Investments. (Base the calculation on total assets instead of net operating assets in the denominator-HP does not disclose operating liabilities by segment.) (Round your answer to one decimal place.)
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To calculate the Return on Capital Employed ROCE for the specified segments Personal ... View the full answer
Related Book For
Auditing A Risk Based Approach
ISBN: 9780357721872
12th Edition
Authors: Karla M Johnstone-Zehms, Audrey A. Gramling, Larry E. Rittenberg
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