Net asset turnover = Sales/(Total assets less Current liabilities)
Net asset turnover = Sales/(Total assets less Current liabilities)
Net asset turnover is a measure of how effectively management use available
assets to generate sales. A high figure is not necessarily ’good’ if margins are so
small that little profit results. Needs to be considered in context of pricing
strategy.
Net assetNet asset turnover = Sales/(Total assets less Current liabilities)
Net asset turnover is a measure of how effectively management use available
assets to generate sales. A high figure is not necessarily ’good’ if margins are so
small that little profit results. Needs to be considered in context of pricing
strategy.
turnover is a measure of how effectively management use available
assets to generate sales. A high figure is not necessarily ’good’ if margins are so
small that little profit results. Needs to be considered in context of pricing
strategy.