Asset turnover

Three major segments of the transportation industry are motor carriers, such as Atlantic; railroads, such as Pacific; and transportation arrangement services, such as Mediterranean. Recent financial statement information for these three companies is shown as follows (in thousands of dollars):

	Atlantic		Pacific		Mediterranean
Sales	$4,043,502		$6,964,250		$722,371
Average total assets	986,220		1,392,850		555,670

a. Determine the asset turnover for all three companies. Round to one decimal place.

Atlantic
Pacific
Mediterranean

b. The ratio of sales to assets measures the number of sales dollars earned for each dollar of assets. The greater the number of sales dollars earned for every dollar of assets, the more efficient a firm is in using assets.