At December 31,2017,Ashland Company has the following amounts on its financial statements:

$$\begin{array} { l r }
\text { Property, plant, and equipment } & \$ 10,000 \
\text { Accumulated depreciation } & 5,000 \
\text { Total assets at January } 1,2017 & 30,000 \
\text { Total assets at December 31,2017 } & 40,000 \
\text { Net sales } & 62,000 \
\text { Depreciation expense } & 1,000
\end{array}$$
Based on this information,calculate the following ratios:
(1)Average life of the assets
(2)Average age of the assets
(3)Asset turnover

Question

At December 31,2017,Ashland Company has the following amounts on its financial statements:

$$\begin{array} { l r } 
\text { Property, plant, and equipment } & \$ 10,000 \
\text { Accumulated depreciation } & 5,000 \
\text { Total assets at January } 1,2017 & 30,000 \
\text { Total assets at December 31,2017 } & 40,000 \
\text { Net sales } & 62,000 \
\text { Depreciation expense } & 1,000
\end{array}$$ 
Based on this information,calculate the following ratios:
(1)Average life of the assets
(2)Average age of the assets
(3)Asset turnover

Quizplus · Accepted Answer

The Answer of At December 31,2017,Ashland Company has the following amounts on its financial statements:

$$\begin{array} { l r } 
\text { Property, plant, and equipment } & \$ 10,000 \
\text { Accumulated depreciation } & 5,000 \
\text { Total assets at January } 1,2017 & 30,000 \
\text { Total assets at December 31,2017 } & 40,000 \
\text { Net sales } & 62,000 \
\text { Depreciation expense } & 1,000
\end{array}$$ 
Based on this information,calculate the following ratios:
(1)Average life of the assets
(2)Average age of the assets
(3)Asset turnover

At December 31,2017,Ashland Company Has the Following Amounts on Its