if-a-company-has-a-total-asset-turnover-ratio-of-30-what-does-this-imply-about-i

Question

If a company has a total asset turnover ratio of 3.0, what does this imply about its sales and asset levels?

Accepted Answer

The company generates $$3 in sales for every 1 of $$assets.

Answer

The company has $$1 in assets for every 3 of $$sales.

Answer

The company generates $$1 in sales for every 3 of $$assets.

Answer

The company has $$3 in assets for every 1 of $$sales.