Capital Turnover Calculator
Capital Turnover Calculator
Component | Description |
---|---|
Net Sales | The total revenue generated from sales. |
Average Total Assets | The average value of total assets over a specific period. |
Capital Turnover | The ratio of net sales to average total assets, measuring how efficiently a company uses its assets to generate sales. |
Formula | Capital Turnover = Net Sales / Average Total Assets |
Purpose | Used to assess a company’s efficiency in using its assets to generate revenue. |