The following information is extracted from the accounts of Eastern Trucking:

Income Statement

Sales Revenue Cost of Goods Sold

Balance Sheet

Net assets employed Debtors

Creditors

Average stock (Inventory)

31 Dec 2010

36,492,000 14,280,000

22,350,000 3,507,000 950,000 2,793,000

31 Dec 2011

33,914,000 19,133,000

21,856,000 4,475,000 750,000 2,581,000

Based on the information above, calculate ratios to make intra-firm comparisons:

a. Asset Turnover (Net Asset Turnover)

b. Rate of Stock Turnover (Rate of Turnover of Stock)

c. Receivable Days Ratio

d. Discuss the financial efficiency of Eastern Trucking in 2010 and 2011.

3. The following information is extracted from the accounts of Eastern Trucking: Based on the information above, calculate ratios to make intra-firm comparisons: a. Asset Turnover (Net Asset Turnover) b. Rate of Stock Turnover (Rate of Turnover of Stock) c. Receivable Days Ratio d. Discuss the financial efficiency of Eastern Trucking in 2010 and 2011