Compare Comcast, Alphabet, and Wal-Mart The following table shows the sales and average book value of fixed assets for three different companies from three different industries for a recent year: Company (Industry) Sales (in millions) Average Book Value of Fixed Assets (in millions) Comcast Corporation (CMCSA) (communications) $ 80,403 $ 34,959 Alphabet Inc. (GOOGL) (Internet) 90,272 31,625 Wal-Mart Stores, Inc. (WMT) (retail) 482,130 112,226 a. For each company , determine the fixed asset turnover ratio. Round to one decimal place. b. Explain Comcast’s fixed asset turnover ratio relative to the other two companies.

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Corporate Financial Accounting

15th Edition
Carl Warren + 1 other
Publisher: Cengage Learning
ISBN: 9781337398169
BuyFind

Corporate Financial Accounting

15th Edition
Carl Warren + 1 other
Publisher: Cengage Learning
ISBN: 9781337398169
Chapter 9, Problem 9.5MAD
Textbook Problem

Compare Comcast, Alphabet, and Wal-Mart

The following table shows the sales and average book value of fixed assets for three different companies from three different industries for a recent year:

Company (Industry)

Sales

(in millions)

Average Book Value of Fixed Assets (in millions)
Comcast Corporation (CMCSA) (communications) $ 80,403 $ 34,959
Alphabet Inc. (GOOGL) (Internet) 90,272 31,625
Wal-Mart Stores, Inc. (WMT) (retail) 482,130 112,226

a. For each company, determine the fixed asset turnover ratio. Round to one decimal place.

  b.    Chapter 9, Problem 9.5MAD, Compare Comcast, Alphabet, and Wal-Mart The following table shows the sales and average book value Explain Comcast’s fixed asset turnover ratio relative to the other two companies.

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Chapter 9 Solutions

Corporate Financial Accounting
Ch. 9 - Straight-line depreciation A building acquired at...Ch. 9 - Units-of-activity depreciation A truck acquired at...Ch. 9 - Double-declining-balance depreciation A building...Ch. 9 - Revision of depreciation Equipment with a cost of...Ch. 9 - Capital and revenue expenditures On February 14,...Ch. 9 - Sale of equipment Equipment was acquired at the...Ch. 9 - Depletion Glacier Mining Co. acquired mineral...Ch. 9 - Impaired goodwill and amortization of patent On...Ch. 9 - Fixed asset turnover ratio Select financial...Ch. 9 - Costs of acquiring fixed assets Melinda Staffers...Ch. 9 - Determining cost of land Bridger Ski Co. has...Ch. 9 - Determining cost of land On-Time Delivery Company...Ch. 9 - Nature of depreciation Tri-City Ironworks Co....Ch. 9 - Straight-line depreciation rates Convert each of...Ch. 9 - Straight-line depreciation A refrigerator used by...Ch. 9 - Depreciation by units-of-activity method A...Ch. 9 - Depreciation by units-of-activity method Prior to...Ch. 9 - Depreciation by two methods A Kubota tractor...Ch. 9 - Depreciation by two methods A storage tank...Ch. 9 - Partial-year depreciation Equipment acquired at a...Ch. 9 - Revision of depreciation A building with a exist...Ch. 9 - Capital and revenue expenditures Warner Freight...Ch. 9 - Capital and revenue expenditures Jackie Fox owns...Ch. 9 - Capital and revenue expenditures Quality Move...Ch. 9 - Capital expenditure and depreciation Willow Creek...Ch. 9 - Entries for sale of fixed asset Equipment acquired...Ch. 9 - Disposal of fixed asset Equipment acquired on...Ch. 9 - Depletion entries Alaska Mining Co. acquired...Ch. 9 - Amortization entries Kleen Company acquired patent...Ch. 9 - Book value of fixed assets Apple Inc. (AAPL)...Ch. 9 - Balance sheet presentation List the errors you...Ch. 9 - Asset traded for similar asset A printing press...Ch. 9 - Asset traded for similar asset Assume the same...Ch. 9 - Entries for trade of fixed asset On July 1, Twin...Ch. 9 - Entries for trade of fixed asset On October 1,...Ch. 9 - Allocating payments and receipts to fixed asset...Ch. 9 - Comparing three depreciation methods Dexter...Ch. 9 - Depreciation by three methods; partial years...Ch. 9 - Depreciation by two methods; sale of fixed asset...Ch. 9 - Transactions for fixed assets, including sale The...Ch. 9 - Amortization and depletion entries Data related to...Ch. 9 - Allocating payments and receipts to fixed asset...Ch. 9 - Comparing three depreciation methods Waylander...Ch. 9 - Depreciation by three methods; partial years...Ch. 9 - Depreciation by two methods; sale of fixed asset...Ch. 9 - Transactions for fixed assets, including sale The...Ch. 9 - Amortization and depletion entries Data related to...Ch. 9 - Compare Amazon.com to Netflix Amazon.com, Inc....Ch. 9 - Compare Alaska Air, Delta Air Lines, and Southwest...Ch. 9 - Analyze Verizon Verizon Communications Inc. (VZ)...Ch. 9 - Compare FedEx and UPS FedEx Corporation (FDX) and...Ch. 9 - Compare Comcast, Alphabet, and Wal-Mart The...Ch. 9 - Ethics in Action Hard Bodies Co. is a fitness...Ch. 9 - Communication Godwin Co. owns three delivery...Ch. 9 - Financial versus tax depreciation The following is...

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