Wildling Supply Company has net sales of $1,150,000, net income of $90,000, average current assets of $50,000, average fixed assets of $182,000, and average total assets of $232,000. Wildling's total asset turnover ratio is: (Round your final answer to two decimal places.)
A)23.00.
B)0.16.
C)6.32.
D)4.96.

Question

Quizplus · Accepted Answer

Total asset turnover ratio is calculated as net sales divided by average total assets.

Total asset turnover ratio = Net sales / Average total assets
= $1,150,000 / $232,000
= 4.96

Therefore, the answer is D) 4.96.

Wildling Supply Company Has Net Sales of $1,150,000, Net Income