Question $3$: Analyzing Long$-$Lived Assets $(13$ marks$)$

The following chart displays some figures relating to Sebas' suffoard rental shop called Sebas'

Surf Supplies:

Instructions:

a$)$ Calculate the asset turnover ratio for both $2022$ and $2023(4$ marks$)$

b$)$ Calculate the return on assets for both $2022$ and $2023(4$ marks$)$

c$)$ Briefly comment on these numbers over the two years of Sebas' business. What do

they tell you about his business? Why would one number be improving, while the other

is going down? Give some reasoning as to why this may be happening. $(5$ marks$)$