Required: Compute the asset turnover ratio for 2021. (Re Asset turnover ratio

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter7: Operating Assets
Section: Chapter Questions
Problem 36BE: Analyzing Fixed Assets Pitt reported the following information for 2018 and 2019: Required: Compute...
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Required:
Compute the asset turnover ratio for 2021. (Re
Asset turnover ratio
Transcribed Image Text:Required: Compute the asset turnover ratio for 2021. (Re Asset turnover ratio
The following information (in $ millions) comes from the Annual Report of Saratoga Springs Co. for the year ending 12/31/2021:
Net sales
Cost of goods sold
Selling and administrative expense
Interest expense
Income before taxes
Net income
Cash and cash equivalents
Receivables, net
Inventories
Year ended 12/31/2021
$9,449
4,917
2,059
566
Land, buildings and equipment at cost, net
Total assets
Total current liabilities
Long-term debt
Total liabilities
Total stockholders' equity
1,907
608
12/31/2021
$ 1,125
1,160
1,205
13,650
$17,140
$ 5,897
5,741
$11,638
$ 5,502
12/31/2020
$
79
814
669
3,994
$5,556
$2,359
2,371
$4,730
$ 826
Transcribed Image Text:The following information (in $ millions) comes from the Annual Report of Saratoga Springs Co. for the year ending 12/31/2021: Net sales Cost of goods sold Selling and administrative expense Interest expense Income before taxes Net income Cash and cash equivalents Receivables, net Inventories Year ended 12/31/2021 $9,449 4,917 2,059 566 Land, buildings and equipment at cost, net Total assets Total current liabilities Long-term debt Total liabilities Total stockholders' equity 1,907 608 12/31/2021 $ 1,125 1,160 1,205 13,650 $17,140 $ 5,897 5,741 $11,638 $ 5,502 12/31/2020 $ 79 814 669 3,994 $5,556 $2,359 2,371 $4,730 $ 826
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