The following information is available from the accounting records of the Bright Company: What is the fixed asset turnover ratio?
A)0.10 times
B)3 times
C)3.27 times
D)10 times

Name: The following information is available from the accounting records of the Bright Company: What is the fixed asset turnover ratio? A)0.10 times B)3 times C)3.27 times D)10 times
Brand: Quizplus
Rating: 4.8 (31 reviews)

Question

The following information is available from the accounting records of the Bright Company:  What is the fixed asset turnover ratio?
A)0.10 times 
B)3 times 
C)3.27 times 
D)10 times

Quizplus · Accepted Answer

Fixed asset turnover ratio = Net revenue ÷ Average net fixed assets
= $360,000 ÷ [($100,000 + $120,000)÷ 2] = 3.27 times

The Following Information Is Available from the Accounting Records of the Bright