Learn what asset turnover ratio is, the formula, how to calculate it and how it measures a company's efficiency in generating revenue from its assets.

You can use this formula to calculate the fixed asset turnover ratio of a company: Net sales ÷ average fixed assets = FAT Net sales: Total sales revenue after subtracting any returns. Average ...

A high ratio suggests effective collection, while a low ratio indicates potential issues with credit collection. Investopedia / Zoe Hansen To calculate ... The asset turnover ratio, however ...