Question: Use the following information to answer this question. Windswept, Inc. 2017 Income Statement ($ in millions) Net sales $ 14,450 Cost of goods sold 8,200
Use the following information to answer this question.
| Windswept, Inc. 2017 Income Statement ($ in millions) | |||
| Net sales | $ | 14,450 | |
| Cost of goods sold | 8,200 | ||
| Depreciation | 520 | ||
| Earnings before interest and taxes | $ | 5,730 | |
| Interest paid | 110 | ||
| Taxable income | $ | 5,620 | |
| Taxes | 1,967 | ||
| Net income | $ | 3,653 | |
| Windswept, Inc. 2016 and 2017 Balance Sheets ($ in millions) | |||||||||||||
| 2016 | 2017 | 2016 | 2017 | ||||||||||
| Cash | $ | 310 | $ | 340 | Accounts payable | $ | 2,020 | $ | 2,000 | ||||
| Accounts rec. | 1,210 | 1,110 | Long-term debt | 1,120 | 1,440 | ||||||||
| Inventory | 2,150 | 1,810 | Common stock | 3,460 | 3,090 | ||||||||
| Total | $ | 3,670 | $ | 3,260 | Retained earnings | 700 | 950 | ||||||
| Net fixed assets | 3,630 | 4,220 | |||||||||||
| Total assets | $ | 7,300 | $ | 7,480 | Total liab. & equity | $ | 7,300 | $ | 7,480 | ||||
What is the fixed asset turnover for 2017?
A) 4.43 times
B) 1.93 times
C) 3.42 times
D) .29 times
E) 2.26 times
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