You can use this formula to calculate the fixed asset turnover ratio of a company: Net sales ÷ average fixed assets = FAT Net sales: Total sales revenue after subtracting any returns. Average ...

use the following formula: Asset turnover ratio = net sales divided by average total assets. An asset turnover ratio could be high or low. Depending on the industry, a high or low ratio may mean ...

Asset turnover ratio calculates efficiency of asset use to generate sales; formula: Total Sales ÷ Average Assets. Higher asset turnover indicates better capital use and operational efficiency ...

These two ratios appear in the current assets category of a business's balance sheet. Accounts receivable turnover indicates how effective a company is at collecting on debts owed to it.