Computing NOPAT, NOPM and RNOA LVMH Moët Hennessy Louis Vuitton SE (LVMH) is a French multinational luxury goods conglomerate headquartered in Paris. The following information is selected from their 2020 annual report. (€ millions) 2020 2019 Revenue Operating income Net financial income/(expense) Net income Operating assets 44,651 53,670 7,972 11,273 (608) (559) 4,702 7,171 107,932 95,592 Operating liabilities 45,139 45,431 LVMH has an income tax rate of approximately 30% a. Compute LVMH's net operating profit after taxes (NOPAT) for 2020 and 2019. Round answers to one decimal place. 2019 € 2020 € 0 0 b. Compute LVMH's net operating profit margin (NOPM) for each year. Round answers to two decimal places (i.e. 0.25466 = 24.47%) 2019 2020 0% 0% c. Compute LVMH's return on net operating assets (RNOA) for 2020. Round answer to two decimal places (i.e. 0.25466 = 24.47%) 2020 Check 0%

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Computing NOPAT, NOPM and RNOA
LVMH Moët Hennessy Louis Vuitton SE (LVMH) is a French multinational luxury goods conglomerate headquartered in Paris. The following information is selected from their 2020 annual report.
(€ millions)
2020 2019
Revenue
Operating income
Net financial income/(expense)
Net income
Operating assets
44,651 53,670
7,972 11,273
(608) (559)
4,702 7,171
107,932 95,592
Operating liabilities
45,139 45,431
LVMH has an income tax rate of approximately 30%
a. Compute LVMH's net operating profit after taxes (NOPAT) for 2020 and 2019. Round answers to one decimal place.
2019 €
2020 €
0
0
b. Compute LVMH's net operating profit margin (NOPM) for each year. Round answers to two decimal places (i.e. 0.25466 = 24.47%)
2019
2020
0%
0%
c. Compute LVMH's return on net operating assets (RNOA) for 2020. Round answer to two decimal places (i.e. 0.25466 = 24.47%)
2020
Check
0%
Transcribed Image Text:Computing NOPAT, NOPM and RNOA LVMH Moët Hennessy Louis Vuitton SE (LVMH) is a French multinational luxury goods conglomerate headquartered in Paris. The following information is selected from their 2020 annual report. (€ millions) 2020 2019 Revenue Operating income Net financial income/(expense) Net income Operating assets 44,651 53,670 7,972 11,273 (608) (559) 4,702 7,171 107,932 95,592 Operating liabilities 45,139 45,431 LVMH has an income tax rate of approximately 30% a. Compute LVMH's net operating profit after taxes (NOPAT) for 2020 and 2019. Round answers to one decimal place. 2019 € 2020 € 0 0 b. Compute LVMH's net operating profit margin (NOPM) for each year. Round answers to two decimal places (i.e. 0.25466 = 24.47%) 2019 2020 0% 0% c. Compute LVMH's return on net operating assets (RNOA) for 2020. Round answer to two decimal places (i.e. 0.25466 = 24.47%) 2020 Check 0%
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