Question
Based on the information, calculate the firm's fixed asset turnover ratio. Balance Sheet December 31, 2010 Cash and marketable securities$102,000 Accounts payable $287,000 Accounts receivable$299,000
Based on the information, calculate the firm's fixed asset turnover ratio.
Balance Sheet December 31, 2010
Cash and marketable securities$102,000
Accounts payable $287,000
Accounts receivable$299,000
Notes payable$61,200
Inventories$628,000
Accrued expenses$51,900
Prepaid expenses$10,300
Total current liabilities$400,100
Total current assets$1,039,300
Long-term debt$415,000
Gross fixed assets$1,502,000
Par value and paid-in-capital$376,000
Less: accumulated depreciation$312,000
Retained Earnings$1,038,200
Net fixed assets $1,190,000
Common Equity1,414,200
Total assets$2,229,300
Total liabilities and owner's equity$2,229,300
Income statement, Year of 2010
Net sales (all credit)$6,387,700.00
Less: Cost of goods sold$4,726,898.00
Selling and administrative expenses$345,000.00
Depreciation expense$148,000.00
EBIT$1,167,802.00
Interest expense$50,600.00
Earnings before taxes$1,117,202.00
Income taxes$446,880.80
Net income $670,321.20
Round the answers to two decimal places
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