Kroger, a national supermarket chain, reported the following data (in millions) in its financial statements for 2005:
Total revenue .......... $56,434
Total assets at end of year ..... 20,491
Total assets at beginning of year .. 20,763
a. Compute the ratio of net sales to assets for 2005. Round to two decimal places.
b. Would you expect the ratio of net sales to assets for Kroger to be similar to or different from that of Tiffany & Co.? Tiffany is the large North American retailer of jewelry, with a ratio of net sales to average total assets of 0.87.