Following are financial data for Nike and Under Armour. (1) Compute return on total assets for the

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Following are financial data for Nike and Under Armour.

(1) Compute return on total assets for the current year for

(a) Nike

(b) Under Armour.

(2) Compute both profit margin and total asset turnover for the current year for

(a) Nikeand

(b) Under Armour.

(3) Which company more efficiently used its assets in the current year?

Nike Under Armour $millions Current Year 1 Year Prior Current Year 1 Year Prior $ 3,760 32,376 21,396 $ 3,273 30,601 21,

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.
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