Question: Computing, Analyzing, and Interpreting Return on Equity and Return on Assets Following are summary financial statement data for Logitech International for 2016 through 2018. $thousands


Computing, Analyzing, and Interpreting Return on Equity and Return on Assets Following are summary financial statement data for Logitech International for 2016 through 2018. $thousands 2018 2017 2016 Sales $3.080.236 $2,665,712 $2,421.720 Net income 229,396 226,464 131,249 Total assets 2,440,420 2,098,148 1.853.806 Equity 1,260,668 1,027.333 911,938 a. Compute the return on assets (ROA) for 2018 and 2017 Round answers to one decimal place (ex: 0.2345 - 23.5%), 2017 096 0 % 2018 b. Compute the profit margin (PM) for 2018 and 2017 Round answers to one decimal place (ex: 0.2345 - 23.596). 2017 096 096 2018 c. Compute the asset turnover (AT) for 2018 and 2017 Round answers to two decimal places. 2017 2018 0 0 d. Which component of ROA (profit margin or asset turnover or both) drives the change in ROA in 2018? 4 e. Compute the return on equity (ROE) for 2018 and 2017. Round answers to one decimal place (ex: 0.2345 - 23.5%). 2018 0 % 2017 0% f. Logitech repurchased common shares in 2018 at a cost of $30 million. Did this repurchase increase or decrease the company's ROE? Increase Decrease Piales. 2018 2017 0 0 d. Which component of ROA (profit margin or Asset turnover Profit margin In on equity (ROE) for 2018 he decimal place (ex: 0.234 Both 2018 2017 0.96 0.96
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