Question 2: Financial Analysis [25 marks] a. Calculate the Return on Equity (ROE) for Breville for the 2020 financial year. Use average shareholders equity in your calculation. (2 marks) b. Use the traditional DuPont model to decompose Brevilles ROE into profit margin, asset turnover, and leverage. (6 marks) c. Discuss whether or not the ratios you calculated in b. above do a good job of reflecting the key success factors and key risks of Breville. (6 marks) d. What do you believe are other key financial statement ratios that capture the extent of the business success of Breville (apart from those calculated in b. above)? Explain why these ratios are important in assessing the performance of Breville. (6 marks) e. Do you think it would help assess the performance of Breville to separately consider the operating and the financing components of the financial statements (i.e. to use an alternate DuPont decomposition)? Explain why.

I think they want you to refer to the 2020 Annual report of Breville. Thank you :)