The following information comes from an analysis of two competitors, Claw Co. and the Smiles Company:

Required
a. For both competitors, compute the asset turnover ratio, average useful life of the assets, and the average age of the fixed assets.
b. After analysis, which of the two companies is better at using assets to generate revenues?
c. Are there factors that seem to contradict each other in these numbers? What could be some valid reasons for such circumstances?

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Claw Smiles Net revenues Net income Average total assets Average NBV of fixed assets Accumulated depreciation Depreciation expense 125,000 $110,000 50,000 68,000 950,000 645,000 1,245,000 750,000 120000 240,000 25,000 12,000