Question 6 10 points The following information is from refor

Question 6 (10 points) The following information is from reformulated financial statements (in millions of dollars): Net operating assets (NOA) Net financial obligations (NFO) 2007 1,900 1,000 2008 2,400 | 1,200 If Operating income (OI) is 280S, Calculate RNOA for 2008; use the average net operating assets in the denominator.

Solution

RNOA =( operating income / average operating assets)*100

RNOA = (280//1100)*100 =25.454%

Operating income = 280

average operating assets = (opening+closing)/2 = (1000+1200)/2 = 1100