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Home / Questions / Compare GAAP and non-GAAP Measures FMC Corporation reports the following non-GAAP informat...

Compare GAAP and non-GAAP Measures FMC Corporation reports the following non-GAAP information in its 2016 form 10-K Use this information to answer the requirements Year Ended December

Compare GAAP and non-GAAP Measures FMC Corporation reports thefollowing non-GAAP information in its 2016 form 10-K. Use thisinformation to answer the requirements. Year Ended December 31 ($in millions) 2016 2015 Net income attributable to FMC stockholders(GAAP) $209.1 $489.0 Corporate special charges (income), pre-tax155.8 569.6 Income tax expense (benefit) on corporate specialcharges (income) (48.5) (144.9) Corporate special charges (income),net of income taxes 107.3 424.7 Discontinued operationsattributable to FMC stockholders, net of income taxes 33.7 (676.4)Non-GAAP tax adjustments 29.7 95.3 Adjustments after tax earningsfrom continuing operations attributable to FMC stockholders(non-GAAP) $379.8 $332.6 We believe that this measure providesuseful information about our operating results to investors. Wealso believe that excluding the effect of restructuring and otherincome and charges, non-operating pension and postretirementcharges, certain Non-GAAP tax adjustments from operating resultsand discontinued operations allows management and investors tocompare more easily the financial performance of our underlyingbusinesses from period to period. Compute the return on equity foreach year. Average equity was $1,911.7 million and $1,698.1 millionfor 2016 and 2015, respectively. Round answers to one decimal place(ex: 0.2345 = 23.5%) 2016 2015 ROE Answer % Answer % Compute theyear over year change for (i) net income and (ii) non-GAAPearnings. Round answers to the nearest percentage. (i) Net incomeAnswer by Answer % (ii) Non-GAAP earnings Answer by Answer %Re-compute the return on equity for each year using the non-GAAPearnings number. Round answers to one decimal place (ex: 0.2345 =23.5%) 2016 2015 ROE Answer % Answer %

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