The Kroger Company (KR), a national supermarket chain, reported the following data (in millions) in its financial
Question:
The Kroger Company (KR), a national supermarket chain, reported the following data (in millions) in its financial statements for a recent year:
Total sales ...................................................$115,337
Total assets:
Beginning of year ...........................................33,897
End of year .....................................................36,505
a. Compute the asset turnover ratio. Round to two decimal places.
b. Tiffany & Co. (TIF) is a large North American retailer of jewelry. Tiffany’s asset turnover ratio is 0.78. Why would Tiffany’s asset turnover ratio be lower than that of Kroger?
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.
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a Asset turnover ratio 328 115337 33897 36505 2 b Although Kroger and Tiffany are both ...View the full answer
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Related Book For 
Corporate Financial Accounting
ISBN: 9781337398169
15th Edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
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