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Collection Period, Inventory Turnover, Total Asset Turnover

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Https://mycampus.aiu-online.com/courses/FIN410/Assignment_Assets/FIN410_U2_ips3.pdf

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Use the annual information found here on this website to answer this assignment.

Calculate the following asset activity ratios for the end of 2005

1. Average Collection Period

2. Inventory Turnover

3. Total Asset Turnover

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Solution Summary

The Average Collection Period, Inventory Turnover and Total Asset Turnover are calculated using the data provided

Solution Preview

1  Average Collection Period = ACP = Accounts Receivable / (Sales / 365 days)

Sales= 2004.016
Accounts Receivables= 55.514
Average ...

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