In its 2017 annual report, Winkler Limited reports beginning-of-the-year total assets of $1,923 million, end-of-the-year total assets

Question:

In its 2017 annual report, Winkler Limited reports beginning-of-the-year total assets of $1,923 million, end-of-the-year total assets of $2,487 million, total revenue of $2,687 million, and net income of $52 million.

(a) Calculate Winkler's asset turnover ratio.

(b) Calculate Winkler's profit margin.

(1) Using the asset turnover and profit margin, and

(2) Using net income.

Asset Turnover
Asset turnover is sales divided by total assets. Important for comparison over time and to other companies of the same industry. This is a standard business ratio.