The TJX Companies, Inc., which operates the T.J. Maxx, Marshalls, and Home Goods chains, is the leading off-price apparel and home fashions retailer in the United States and worldwide. Presented here are selected recent income statement and balance sheet amounts (dollars in thousands).

Required:
1. Compute ROA for the current and prior years and explain the meaning of the change.
2. Explain the major cause(s) of the change in ROA using ROA profit driver analysis.

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Net sales Net income Average shareholders' equity Average total assets Current Year $38,972,934 3,059,798 5,098,458 14,192,022 Prior Year $35,864,664 2,607,948 4,829,454 13,470,912