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Fixed asset turnover ratio Amazon.com, Inc. is the world's leading Internet retailer of merchandise and media. Amazon also designs and sells electronic products, such as e-readers. Netflix, Inc. is the world's leading Internet television network. Both companies compete in the digital media and streaming space. However, Netflix is more narrowly focused in the digital streaming business than is Amazon. Sales and average book value of fixed assets information (in millions) are provided for Amazon and Netflix for a recent year as follows: Amazon Netflix Sales $107,006 $6,780 Average book value of fixed assets 19,403 a. Compute the fixed asset turnover ratio for each company. Round to one decimal place! 162 Fixed Asset Turnover Ratio Amazon Netflix b. Which company is more efficient in generating sales from fixed assets Netilix C. Based on your calculations above which of the following is true? 1. The difference in their fixed asset turnover ratios because Netflix does not require significant investment in fixed asset as compared to Amazon. This is primarily due to the difference in their core 2. The difference in their fixed asset turnover ratios because Amazon does not require significant investment in fixed asset as compared to Netflix. This is primarily due to the difference 3. The difference in their fixed asset turnover ratios because Netflix is managing its fixed assets more efficiently than Amazon. This is primarily due to the difference in their managemer 4. The difference in the fixed asset turnover ratios because Amazon is managing its fixed assets more efficiently than Netflix. This is primarily due to the difference in their ma Previous Next