Analysis of Operating Assets At December 31, 2010, a company has the following amounts on its financial statements:
Property, plant, and equipment ........$10,000
Accumulated depreciation ..........5,000
Total assets at January 1, 2010 ........30,000
Total assets at December 31, 2010 ........40,000
Net sales ..................62,000
Depreciation expense .............1,000
Calculate the following ratios:
Average life of the assets
Average age of the assets
Asset turnover