Shelli's Ski Super has sales of $670, net fixed assets of $210, total assets of $305, and current assets of $25. Which of the following is the total asset turnover ratio for the business?
A) 0.46 times
B) 2.2 times
C) 3.19 times
D) 26.8 times

Question

Quizplus · Accepted Answer

The total asset turnover ratio is calculated by dividing sales by total assets. In this case, it is $670 / $305 = 2.2 times.

Shelli's Ski Super Has Sales of $670, Net Fixed Assets