Total asset turnover is more relevant for service-industry firms, while the fixed asset turnover ratio is more relevant for manufacturing industry firms.

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Total asset turnover, which measures a company's efficiency in using its assets to generate revenue, is broadly applicable across industries, including service-oriented firms. However, the fixed asset turnover ratio, which focuses on a company's ability to generate sales from fixed assets (like plant, property, and equipment), is particularly relevant for manufacturing firms that rely heavily on these assets for production.

Total Asset Turnover Is More Relevant for Service-Industry Firms, While