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Bailey Deitch
on Nov 14, 2024

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Asset turnover measures

A) how often a company replaces its assets.
B) how efficiently a company uses its assets to generate sales.
C) the portion of the assets that have been financed by creditors.
D) the overall rate of return on assets.

Asset Turnover

A financial ratio that measures the efficiency of a company's use of its assets in generating sales revenue, indicating how effectively assets are utilized.

Generate Sales

The activity of creating or increasing revenue through the sale of goods or services.

  • Understand the significance and computation of asset turnover ratios.
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Karthick PadmanabhanNov 19, 2024
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