comparing different firms' assets turnover ratios
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What potential problem might arise when comparing different firms' assets turnover ratios?
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The expert compares different firms' assets and turnover ratios.
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Hi there,
Here is some information for you regarding the asset turnover ratio:
Calculating Asset Turnover
The asset turnover ratio calculates the total sales [revenue] for every dollar of assets a company owns. To calculate asset turnover, take the total revenue and divide it by the average assets for the period studied. [Note: you ...
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