Question: Online Learning, Inc. has two divisions: Test Preparation and Language Arts. Results (in millions) for the past three years are partially displayed here: Operating Operating

Online Learning, Inc. has two divisions: Test Preparation and Language Arts. Results (in millions) for the past three years are partially displayed here:

Operating

Operating

Operating

Income /

Revenues /

Income /

Operating

Operating

Total

Operating

Total

Total

Income

Revenues

Assets

Revenues

Assets

Assets

Test Preparation Division

2015

$690

$9,200

$1,840

?

?

?

2016

850

?

?

10%

?

40%

2017

1,150

?

?

12.5%

4.0

?

Language Arts Division

2015

$600

$2,400

$1,600

?

?

?

2016

?

3,750

2,500

20%

?

?

2017

?

?

2,500

?

2.0

25%

Online Learning Inc.

2015

$1,290

$11,600

$3,440

?

?

?

2016

?

?

?

?

?

?

2017

?

?

?

?

?

?

Requirements

1.

Complete the table by filling in the blanks.

2

Use the DuPont method of profitability analysis to explain changes in theoperating-income-to-total-assets ratios over the

2015----2017 period for each division and for Online Learning as a whole. Comment on the results.

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