Calculate return on equity using the du point identity

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Reference no: EM13811294

Look up the 2013 annual financial statements for Johnson Controls Inc. (ticker: JCI) You can use finance.yahoo.com for this. Be sure to show how you arrived at your answers. Just writing the statistic down will not receive credit.

1. Calculate the following profitability ratios using the financial statements you looked up: Profit margin, Return on Assets, and Return on equity

2. Calculate the following Turnover ratios using the financial statements you looked up: Inventory Turnover, Days' Sales In Inventory, and Total Asset Turnover.

3. Calculate Return on Equity using the Du Point identity. Does this match what you calculated in number 2?

4. If JCI has 685 million shares outstanding at the end of 2013 and a market value of $24 billion. Calculate the price to earnings ratio, and market-to-book ratio. If all of the net income is paid out as dividends, what are the dividends per share?

Reference no: EM13811294

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