A Company Had Net Sales of $230,000 for Year 1

question 61

Essay

A company had net sales of $230,000 for Year 1 and $288,000 for Year 2.The company's average total assets for Year 1 were $150,000 and $180,000 for Year 2.Calculate the total asset turnover for each year and comment on the company's efficiency in the use of its assets.

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Definitions:

Specific Attribution

The belief that a particular outcome is limited to a specific situation.

Concept

A symbol that represents a class of objects or events with common characteristics.

Phoneme

A phoneme is the smallest unit of sound in a language that can distinguish one word from another, such as the difference between the 'p' and 'b' sounds in "pad" and "bad".

Association

The linkage of two events, usually as the result of a specific experience.