Three major segments of the transportation industry are motor carriers, such as YRC Worldwide (YRCW); railroads, such

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Three major segments of the transportation industry are motor carriers, such as YRC Worldwide (YRCW); railroads, such as Union Pacific (UNP); and transportation logistics services, such as C.H. Robinson Worldwide, Inc. (CHRW). Financial statement information for these three companies follows (in thousands):

Union Pacific C.H. Robinson YRC $4,697,500 1,824,700 Sales $19,941,000 55,159,000 $13,144,413 3,436,058 Average total as


a. Determine the asset turnover for all three companies. Round to one decimal place.
b. Assume that the asset turnover for each company represents their respective industry segment. Interpret the differences in the asset turnover in terms of the operating characteristics of each of the respective segments.

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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Corporate Financial Accounting

ISBN: 9781337398169

15th Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

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