USA: +1 (725) 712-1730
USA: +1 (725) 712-1730

Question & Answer: Excerpts from Hulkster Company's December 31, 2018 and 2017, financial statements are presented below 2018 2017 Accounts receiv…..

Excerpts from Hulkster Companys December 31, 2018 and 2017, financial statements are presented below 2018 2017 Accounts receivable Merchandise inventory Net sales Cost of goods sold Total assets $ 74, 000 53,000 69,000 311,000 125, 000 422, 000 Total shareholders equity 274,000 242, 000 45, 000 45,000 317,500 148,000 459,000 Net income 58,000 Hulksters 2018 asset turnover is: (Round your answer to 2 decimal places.)

Excerpts from Hulkster Company’s December 31, 2018 and 2017, financial statements are presented below 2018 2017 Accounts receivable Merchandise inventory Net sales Cost of goods sold Total assets $ 74, 000 53,000 69,000 311,000 125, 000 422, 000 Total shareholders’ equity 274,000 242, 000 45, 000 45,000 317,500 148,000 459,000 Net income 58,000 Hulkster’s 2018 asset turnover is: (Round your answer to 2 decimal places.)

Expert Answer

 

Asset turnover = turnover / Average total Assets

317500 /( [ 459000 + 422000 ] / 2 )

317500 / 440500

0.72 times

Option D is correct.

Still stressed from student homework?
Get quality assistance from academic writers!
Order now