Jim Short’s Company makes clothing for schools. Sales in 2013 were $4,820,000. Assets were as follows:<\/p>\n
cash163000accounts receivable889000inventory411000net plant and equipment520000total assets1983000<\/p>\n
a. compute the following<\/p>\n
1. accounts receivable turnover<\/p>\n
2. inventory turnover<\/p>\n
3. fixed asset turnover<\/p>\n
4. total asset turnover<\/p>\n
b. in 2014, sales increased to $5,740,000 and the assets for that year were as follows:<\/p>\n
cash163000accounts receivable924000inventory1063000net plant and equipment520000total assets2670000<\/p>\n
Compute the four ratios again.<\/p>\n
c. indicate if there is an improvement or decline in total asset turnover, and based on the other ratios, indicate why this development has taken place<\/p>\n
Expert Answer<\/b><\/p>\n","protected":false},"excerpt":{"rendered":"
Jim Short’s Company makes clothing for schools. Sales in 2013 were $4,820,000. Assets were as follows: cash163000accounts receivable889000inventory411000net plant and equipment520000total assets1983000 a. compute the following 1. accounts receivable turnover 2. inventory turnover 3. fixed asset turnover 4. total asset Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-27151","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/27151","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=27151"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/27151\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=27151"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=27151"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=27151"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}