Table below provided the ROE and its components for X company and the overall industry:

	ROE Components of WENDY'S CO			ROE	ROE Components of The Overall Industry			ROE
Fiscal Year	Net Profit Margin	Asset Turn Over	Financial Leverage		Net Profit Margin	Asset Turn Over	Financial Leverage
2015	0.086	0.453	3.341	0.130	0.080	1.15	2.528	0.083
2016	0.090	0.357	6.284	0.202	0.077	1.167	2.808	0.073
2017	0.159	0.304	7.299	0.352	0.086	1.178	3.227	0.065

Discuss your findings from the DuPont analysis:

1. Brainstorm regarding other factors that may drive the 3 components of ROE. In other words, we could further investigate the 3 components of ROE to gain even more detailed insight on the company's performance. No calculations are necessary for this portion of the assignment; simply discuss some general factors that may be driving the 3 components of ROE (i.e., Return on sales, Asset Turnover, Leverage).

• For example, if return on sales increases, what factors could lead to an increase in return on sales?
• 2. What factors are driving your chosen company's ROE? To what extent are these factors driving ROE desirable or undesirable?
• 3.How your chosen company's ROE (as well its components) compares to the industry average?