Selected balance sheet and income statement information from the software company, Cisco Systems, Inc., follows (\$ millions).

a. Compute the 2013 return on equity (ROE) and 2013 return on net operating assets (RNOA).
\(b\). Disaggregate the RNOA from part \(a\) into net operating profit margin (NOPM) and net operating asset turnover (NOAT)

c. Compute the percentage of RNOA to ROE. Explain the relation we observe between ROE and RNOA, and Cisco's use of equity capital.

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2013 Company Ticker Sales Cisco Systems CSCO $48,607 2013 Net Income. $9,983 2013 Net Operating Profit After Tax $9,963 2013 Operating Stockholders' Assets Equity $18,913 $59,120 2013 Net 2012 Net Operating Assets $24,729 2012 Stockholders' Equity $51,286