If Power-On has a total asset turnover of 1.8, a fixed asset turnover of 3.2, a debt ratio of .5 and a total debt of $200,000, then fixed assets are:

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The total asset turnover is calculated as Sales/Total Assets, and the fixed asset turnover is Sales/Fixed Assets. Given the debt ratio of 0.5, the total assets are $400,000 (since Total Debt/Total Assets = 0.5, thus Total Assets = $200,000/0.5). Using the fixed asset turnover formula, Fixed Assets = Sales/3.2. Since Sales = Total Asset Turnover * Total Assets = 1.8 * $400,000 = $720,000, Fixed Assets = $720,000/3.2 = $225,000.

If Power-On Has a Total Asset Turnover of 1