Which firm is more profitable Firm A with a total asset turnover of 10 0 and a net profit margin of 2 percent, or Firm B with a total asset turnover of 2 0 and a net profit margin of 10 percent Provide examples of both types of firm ...

Both firms are equally profitable Each has an ...

Which firm is more profitable - Firm A with a total asset turnover of 10.0 and a

Question:

Which firm is more profitable - Firm A with a total of 10.0 and a net profit margin of 2 percent, or Firm B with a total of 2.0 and a net profit margin of 10 percent? Provide examples of both types of firm.
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.