Fixed Asset Turnover Ratio

Verizon Communications is a major telecommunications company in the United States. Two recent balance sheets for Verizon disclosed the following information regarding fixed assets:

	Year 2 (in millions)		Year 1 (in millions)
Plant, property, and equipment	$209,575		$215,626
Less accumulated depreciation	120,933		127,192
	$88,642		$88,434

Verizon's revenue for Year 2 was $115,846 million. Assume the fixed asset turnover for the telecommunications industry averages approximately 1.10.

a. Determine Verizon's fixed asset turnover ratio for Year 2. Round to two decimal places.

b. Verizon is using its fixed assets than the industry as a whole. Its fixed asset turnover ratio is than the telecommunications industry average fixed asset turnover ratio.