Required: Compute the asset turnover ratio for 2021. (Re Asset turnover ratio
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 7DQ
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![Required:
Compute the asset turnover ratio for 2021. (Re
Asset turnover ratio](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F13ae997d-8f13-4e4d-9970-4aa7e75899f7%2Fe1fec353-2485-480e-8062-a3a8838ec316%2F3uedck_processed.png&w=3840&q=75)
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](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F13ae997d-8f13-4e4d-9970-4aa7e75899f7%2Fe1fec353-2485-480e-8062-a3a8838ec316%2Fwjr8c7_processed.png&w=3840&q=75)
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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