Pizza, Inc For the Year Ending December 31, 2019 Calculate the Asset Turnover Ratio for 2019

question 71

Multiple Choice

Pizza, Inc. provides the following data: $$\begin{array} { | l | r | r | } \hline & 2019 & 2018 \\\hline \text { Assets } & & \\\hline \text { Current Assets: } & & \\\hline \text { Cash and Cash Equivalents } & \$ 30,000 & \$ 25,000 \\\hline \text { Accounts Receivable, Net } & 37,000 & 62,000 \\\hline \text { Merchandise Inventory } & \underline { 59,000 } & \underline { 50,000 } \\\hline \text { Total Current Assets } & \$ 126,000 & 137,000 \\\hline \text { Property, Plant, and Equipment, Net } & \$ 124,000 & \underline { 120,000 } \\\hline \text { Total Assets } & \$ 250,000 & \$ 257,000 \\\hline\end{array}$$ For the year ending December 31, 2019:
$$\begin{array} { | l | r | } \hline \text { Net Credit Sales } & \$ 510,000 \\\hline \text { Cost of Goods Sold } &( \$ 160,000) \\\hline \text { Gross Profit } & \$ 350,000 \\\hline\end{array}$$ Calculate the asset turnover ratio for 2019. There are no cash sales. (Round your answer to two decimal places.)

• A) 4.05 times
• B) 1.01 times
• C) 0.64 times
• D) 2.01 times

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Definitions:

Shared Goals

Objectives that are pursued by a group or team, requiring collaboration and cooperation for achievement.

Communicate Freely

The ability to express thoughts, feelings, or information without restraint or censorship.

Organizational Influence

The capability of individuals or groups within an organization to affect or shape decision-making, behaviors, and the organizational culture.

Informal Groups

Groups that form naturally within the workplace based on personal relationships and common interests rather than structured, formal organization.