Fixed Asset Turnover Ratio Financial statement data for years ending December 31 for DePuy Company follow:

Year 2 Year 1

Sales year 2:$2,213,000 year 1:$2,323,200

Fixed assets:

Beginning of year year 2: 552,000 year 1: 504,000

End of year year 2: 554,500 year 1:552,000

a. Determine the fixed asset turnover ratio for Year 1 and Year 2. Round your answers to one decimal place. Fixed asset turnover Year 1 Year 2

b. Does the change in the fixed asset turnover ratio from Year 1 to Year 2 indicate a favorable or an unfavorable change?