Asset Turnover

The Asset Turnover calculator computes the turnover ratio based on the total assets and sales revenue.

INSTRUCTIONS: Choose the preferred currency and enter the following:

• (TA) This is the Total Assets.
• (SR) This is the Sales Revenue for the period.

Asset Turnover: The calculator returns the Asset Turnover ratios rounded to the nearest 1/1,000^th.

General Information

The Asset turnover equation is used to evaluate how well a company is utilizing its assets to produce revenue.

EXAMPLE

ViTech company had total revenues of $694 billion in the fiscal year ended January 31, 2012, . ViTech's total assets were $193 billion at the beginning of that fiscal year and $203 billion at fiscal year-end, for an average of $198 billion. Using the calculator above, ViTech's asset turnover ratio will therefore be 3.505 (i.e. $694 billion/ $198 billion).