DuPont identity. For the firms in the popup window, E, find the return on equity using the three components of the DuPont identity: operating efficiency, as measured by the profit margin (net income/sales); asset management efficiency, as measured by asset turnover (sales/total assets); and financial leverage, as measured by the equity multiplier (total assets/total equity). Data Table Click on the following Icon a in order to past this table's content into a spreadsheet. Financial Information ($ in millions, 2013) Company Sales Net Income Total Assets Liabilities $6,684 $77,459 Pepsico Coca-Cola $6,383 $53,166 $46,734 $8,463 $89,909 $36,672 $56,863 McDonald's $28,078 $5,853 $20,673
DuPont identity. For the firms in the popup window, E, find the return on equity using the three components of the DuPont identity: operating efficiency, as measured by the profit margin (net income/sales); asset management efficiency, as measured by asset turnover (sales/total assets); and financial leverage, as measured by the equity multiplier (total assets/total equity). Data Table Click on the following Icon a in order to past this table's content into a spreadsheet. Financial Information ($ in millions, 2013) Company Sales Net Income Total Assets Liabilities $6,684 $77,459 Pepsico Coca-Cola $6,383 $53,166 $46,734 $8,463 $89,909 $36,672 $56,863 McDonald's $28,078 $5,853 $20,673
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Chapter 14, Question 5

Transcribed Image Text:DuPont identity. For the firms in the popup window, E, find the return on equity using the three components of the DuPont identity: operating efficiency, as
measured by the profit margin (net income/sales); asset management efficiency, as measured by asset turnover (sales/total assets); and financial leverage, as
measured by the equity multiplier (total assets/total equity).
i Data Table
Click on the following Icon a in order to past this table's content into a spreadsheet.
Financial Information ($ in millions, 2013)
Company
Sales
Net Income
Total Assets
Liabilities
PepsiCo
$66,383
$6,684
$77,459
$53,166
Coca-Cola
$46,734
$8,463
$89,909
$56,863
McDonald's
$28,078
$5,853
$36,672
$20,673
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