Selected balance sheet and income statement information from Office Depot, Inc., follows ($ millions).

a. Compute the 2017 return on equity (ROE), return on assets (ROA), and return on financial leverage (ROFL). Use 35% as the incremental tax rate.

b. Disaggregate ROA into profit margin (PM) and asset turnover (AT).

c. What inferences do we draw from PM compared to AT? How do these ratios compare to industry medians?

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Sales Interest Expense Net Income Total Assets Stockholders' Equity 2017 2017 2017 2017 2016 2017 2016 $10,240 $62 $181 $6.323 $5,540 $2,120 $1,852