Compute return on equity $($ROE$).$

NumeratorDenominatorROEAnswer $1$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $2$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $3$Answer $4$

b$.$ Apply the DuPont disaggregation into return on assets $($ROA$)$ and financial leverage.

NumeratorDenominatorROAAnswer $5$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $6$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $7$Answer $8$

NumeratorDenominatorFLAnswer $9$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $10$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $11$Answer $12$

RatioNumberROAAnswer $13$FLAnswer $14$ROE

$***$ROE may be different from ROE calculation in part a due to rounding

c$.$ Calculate the profitability and productivity components of ROA.

NumeratorDenominatorPMAnswer $15$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $16$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $17$Answer $18$

NumeratorDenominatorATAnswer $19$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $20$RevenueTax expenseInterest expense netNet incomeNet income $($adjusted$)$NOPATNet nonoperating expense $($NNE$)$Average assetsAverage equityAverage operating assetsAverage nonoperating assetsAverage operating liabilitiesAverage nonoperating liabilitiesAverage net operating assets $($NOA$)$Average net nonoperating obligations $($NNO$)$Answer $21$Answer $22$

d$.$ Confirm the full DuPont disaggregation: ROE $=$ PM $$ AT $$ FL$.$

RatioNumberPMAnswer $23$ATAnswer $24$FLAnswer $25$ROE

$***$ROE may be different from ROE calculation in part a$.$ due to rounding