Fixed Asset Turnover Ratio Financial statement data for years ending December 31 for DePuy Company follow: Year 2 Year 1 Sales $2,187,810 $1,917,600 Fixed assets: Beginning of year 590,000 538,000 End of year 592,600 590,000 a. Determine the fixed asset turnover ratio for Year 1 and Year 2. Round your answers to one decimal place. Fixed asset turnover Year 1 Year 2 b. Does the change in the fixed asset turnover ratio from Year 1 to Year 2 indicate a favorable or an unfavorable change?

Fixed Asset Turnover Ratio Financial statement data for years ending December 31 for DePuy Company follow: Year 2 Year 1 Sales $2,187,810 $1,917,600 Fixed assets: Beginning of year 590,000 538,000 End of year 592,600 590,000 a. Determine the fixed asset turnover ratio for Year 1 and Year 2. Round your answers to one decimal place. Fixed asset turnover Year 1 Year 2 b. Does the change in the fixed asset turnover ratio from Year 1 to Year 2 indicate a favorable or an unfavorable change?

Corporate Financial Accounting

14th Edition

ISBN:9781305653535

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter5: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 5.2ADM: Home Depot: Asset turnover ratio The Home Depot reported the following data (in millions) in its...

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