Dogz reports total revenue of $47,561,cost of goods sold of $32,856 and net receivables of $19,595.Their property,plant and equipment is $19,813 and they have $16,240 of inventory.Which ratio is highest - ART,INVT or PPET?

Question

Quizplus · Accepted Answer

ART (Accounts Receivable Turnover) = Total Revenue / Net Receivables = $47,561 / $19,595 = 2.43. INVT (Inventory Turnover) = Cost of Goods Sold / Inventory = $32,856 / $16,240 = 2.02. PPET (Property, Plant, and Equipment Turnover) = Total Revenue / Property, Plant, and Equipment = $47,561 / $19,813 = 2.40. Therefore, ART is the highest.

Dogz Reports Total Revenue of $47,561,cost of Goods Sold of $32,856