Asset turnover Three major segments of the transportation industry are motor carriers such as Atlantic Worldwide, railroads such as Pacific, and transportation logist services such as Mediterranean. Recent financial statement information for these three companies follows (in thousands): Atlantic Pacific Mediterranean Sales $1,792,850 $966,350 $2,339,400 Average total assets 779,500 1,380,500 557,000 a. Determine the asset turnover for all three companies. Round your answers to two decimal places. Atlantic Pacific Mediterranean

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Chapter1: Financial Statements And Business Decisions
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Asset turnover
Three major segments of the transportation industry are motor carriers such as Atlantic Worldwide, railroads such as Pacific, and transportation logistics
services such as Mediterranean. Recent financial statement information for these three companies follows (in thousands):
Atlantic
Pacific
Mediterranean
Sales
$1,792,850
$966,350
$2,339,400
Average total assets
779,500
1,380,500
557,000
a. Determine the asset turnover for all three companies. Round your answers to two decimal places.
Atlantic
Pacific
Mediterranean
b. The ratio of sales to assets measures the number of sales dollars earned for each dollar of assets. The greater the number of sales dollars earned for
every dollar of assets, the more
efficient a firm is in using assets.
Transcribed Image Text:Asset turnover Three major segments of the transportation industry are motor carriers such as Atlantic Worldwide, railroads such as Pacific, and transportation logistics services such as Mediterranean. Recent financial statement information for these three companies follows (in thousands): Atlantic Pacific Mediterranean Sales $1,792,850 $966,350 $2,339,400 Average total assets 779,500 1,380,500 557,000 a. Determine the asset turnover for all three companies. Round your answers to two decimal places. Atlantic Pacific Mediterranean b. The ratio of sales to assets measures the number of sales dollars earned for each dollar of assets. The greater the number of sales dollars earned for every dollar of assets, the more efficient a firm is in using assets.
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