Barker,Inc.had reported the following details for the year ended December 31,2019:

The company's beginning total assets and liabilities were $15,800,000 and $9,900,000,respectively.Calculate the asset turnover ratio for 2019.(Round your answer to two decimal places. )

Question

Barker,Inc.had reported the following details for the year ended December 31,2019:

The company's beginning total assets and liabilities were $15,800,000 and $9,900,000,respectively.Calculate the asset turnover ratio for 2019.(Round your answer to two decimal places. )

Quizplus · Accepted Answer

D)
Asset turnover ratio = Net sales / Average total assets
Net sales = $24,950,000
Average total assets = ($15,800,000 + $18,000,000)/ 2 = $16,900,000
Asset turnover ratio = $24,950,000 / $16,900,000 = 1.48