Linking Operating, Investing, and Financing Activities Information is provided below for Minnesota Mining and Manufacturing Corporation (known as 3M) and Eastman Chemical Co. for 2001 and 2000.
|
3M Corp. |
Eastman Chemical |
|||
|
(In millions) |
2001 |
2000 |
2001 |
2000 |
|
Net sales |
$16,079 |
$16,724 |
$5,390 |
$5,292 |
|
Net income (loss) |
1,430 |
1,782 |
175 |
303 |
|
Total assets |
14,606 |
14,522 |
6,092 |
6,550 |
|
Total stockholders’ equity |
6,086 |
6,531 |
1,382 |
1,812 |
Required
A. Calculate profit margin, asset turnover, return on assets, financial leverage, and return on equity.
B. Discuss the results and compare the companies’ effectiveness, efficiency, operating strategy, use of investments in assets, and financing activity.