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Fantom [35]
3 years ago
11

Bountiful Company had sales of $650,000 and cost of merchandise sold of $200,000 during the year. The total assets balance at th

e beginning of the year was $175,000 and at the end of the year was $167,000. Calculate the ratio of sales to total assets.
Mathematics
1 answer:
icang [17]3 years ago
6 0

Answer:

Ratio = 3.801

Step-by-step explanation:

Given that the total assets balance at the beginning of the year was $175,000 and at the end of the year was $167,000.

Average assets for the year = \frac{175000+167000}{2} =171000

Sales for the year = 650000 dollars

To calculate the ratio of sales to total assets:

Required ratio = \frac{650000}{171000} =3.801

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