J C Penney Company, Inc (JCP) is a large general merchandise retailer in the United States The following data (in millions) were obtained from its financial statements for four recent years a Compute the asset turnover ratio for each year Round to two decimal places b Plot the asset turnover ratio ...

a b c The asset turnover ratio has increased over the fouryear pe ...

J. C. Penney Company, Inc. (JCP) is a large general merchandise retailer in the United States. The

Question:

J. C. Penney Company, Inc. (JCP) is a large general merchandise retailer in the United States. The following data (in millions) were obtained from its for four recent years:

Year 3 Year 2 $12,547 $12,625 $12,257 $11,859 Year 1 Year 4 Total sales Total assets: Beginning of year End of year 10,4

a. Compute the asset turnover ratio for each year. Round to two decimal places.
b. Plot the asset turnover ratio on a line chart with the year on the horizontal axis.
c. Interpret the trend in this ratio over the four years.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Asset Turnover
Asset turnover is sales divided by total assets. Important for comparison over time and to other companies of the same industry. This is a standard business ratio.