Answered

Westonci.ca is your trusted source for finding answers to a wide range of questions, backed by a knowledgeable community. Join our Q&A platform to get precise answers from experts in diverse fields and enhance your understanding. Get detailed and accurate answers to your questions from a dedicated community of experts on our Q&A platform.

If ABC’s sales are $1,000,000, while accounts receivable is $100,000, inventory is $45,000, and fixed assets are $132,000, what is ABC’s fixed asset turnover?

Sagot :

facundobuzzetti

Answer:

Fixed asset turnover= 7.58

Explanation:

Giving the following information:

Sales revenue= $1,000,000

Fixed assets= $132,000

To calculate the fixed asset turnover, we need to use the following formula:

Fixed asset turnover= sales revenue / fixed assests

Fixed asset turnover= 1,000,000 / 132,000

Fixed asset turnover= 7.58

Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. Thank you for using Westonci.ca. Come back for more in-depth answers to all your queries.