17 novembre 2023

In simple terms, the company is creating more sales per dollar of assets, indicating efficient asset management. In the realm of financial analysis, the Asset Turnover Ratio plays a critical role. It provides significant insights into how efficiently a company uses its assets to generate sales. Sally’s Tech Company is a tech start up company […]

However, it could also mean that Target, Inc. may not be using its assets efficiently; probably the company’s fixed assets could be sitting idle or not being utilized to their full capacity. This is a good ratio for the company because it indicates that the company can generate enough revenue for itself. However, interpreting this