At the end of its January 31, 2020 fiscal year, Regal Cabinets sold 450,000 units for $7 each. During the year, customers took advantage of $150,000 worth of sales discounts, and the company incurred sales returns and allowances of $200,000. The company reported a total of $840,000 in fixed assets on February 1, 2019 and $910,000 in fixed assets on January 31, 2020.

1. Calculate average fixed assets.
2. Calculate net sales revenue.
3. Calculate the fixed asset turnover ratio.
4. Assume the 2020 fixed asset turnover ratio was lower than the 2019 ratio. Describe one circumstance where this change would indicate bad news and one circumstance where this change would be consistent with good news.