$\begin{array}{l}
\text { The following information is available on Company B: }\
\begin{array} { | l | r | }
\hline \text { Sales } & \$ 950,000 \
\hline \text { Operating Income } & \$ 56,000 \
\hline \text { Shareholders' Equity } & \$ 100,000 \
\hline \text { Average Operating Assets } & \$ 190,000 \
\hline \text { Minimum Required Rate of Return } & 20 \% \
\hline
\end{array}
\end{array}$
-What is the turnover for Company B?
A) 25.
B) 5.
C) 9.
D) 2.

Question

$\begin{array}{l}
\text { The following information is available on Company B: }\
\begin{array} { | l | r | } 
\hline \text { Sales } & \$ 950,000 \
\hline \text { Operating Income } & \$ 56,000 \
\hline \text { Shareholders' Equity } & \$ 100,000 \
\hline \text { Average Operating Assets } & \$ 190,000 \
\hline \text { Minimum Required Rate of Return } & 20 \% \
\hline
\end{array}
\end{array}$
-What is the turnover for Company B?
A) 25.
B) 5.
C) 9.
D) 2.

Quizplus · Accepted Answer

Turnover is calculated as Sales divided by Average Operating Assets. For Company B, it is $950,000 / $190,000 = 5.

-What Is the Turnover for Company B? A) 25

-What Is the Turnover for Company B?
A) 25