Question: This is the entire question. Directly Compute Nonoperating Return with Negative NNO Selected balance sheet and income statement information from Amgen Inc. for 2018 follows
This is the entire question.


Directly Compute Nonoperating Return with Negative NNO Selected balance sheet and income statement information from Amgen Inc. for 2018 follows ($ millions). Net income $8,898 Net operating profit after tax (NOPAT) 9,491 Net nonoperating expense (NNE) 594 Average net operating assets (NOA) 19,096 Average net nonoperating obligations (NNO) (907) Average total equity 20,003 Compute the following measures. a. Return on equity = Net income/Average total equity Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). 44.5 % b. RNOA = NOPAT/Average NOA Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). 49.7 % c. Nonoperating return = ROE - RNOA Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). (5.2) % d. NNEP = NNE/Average NNO Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). 65.5 * % - DNOA NNCD 1,796 SEP 27Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). 49.7 % c. Nonoperating return = ROE - RNOA Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). (5.2) % d. NNEP = NNE/Average NNO Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). 65.5 * % e. Spread = RNOA - NNEP Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). 0 * % f. FLEV = Average NNO/Average total equity Note: Round amount to two decimal places (for example, enter 6.78 for 6.77555). 32.74 g. ROE = RNOA + (Spread x FLEV) Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%). O * % Check
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