The annual financials show NOPAT: $2,291 Net Income: $1,979 Sales: $115,568 Average net operating assets: $18,616\ What is the net operating asset turnover for the year?
Question
The annual financials show NOPAT: 1,979 Sales: 18,616\ What is the net operating asset turnover for the year?
Solution
The net operating asset turnover is calculated by dividing the sales by the average net operating assets.
Here's how you can calculate it:
-
Identify the sales and the average net operating assets from the data provided. In this case, Sales = 18,616.
-
Divide the sales by the average net operating assets.
So, the calculation would be:
Net Operating Asset Turnover = Sales / Average Net Operating Assets = 18,616 = 6.21
So, the net operating asset turnover for the year is 6.21.
Similar Questions
If a company's NOPAT (Net Operating Profit After Tax) is $500,000, and its Capital Employed is $2,000,000, and the WACC is 8%, what is the company's EVA?60,000340,0001,600,000500,000
Following is information from Soar Corporation for Year 6 ($ in millions). Total revenue $47,510 Projected revenue growth rate 5.0% Net operating profit margin (NOPM) 17.3% Net operating assets (NOA) $66,653 Net operating asset turnover (NOAT) 0.74 Projected net operating profit after tax (NOPAT) for Year 7 is
Refer to the financial statements of United Parcel Service presented in the previous activity to answer the following requirements. a. Compute net operating profit after taxes (NOPAT) for 2017 and net operating assets (NOA) for 2017 and 2016. Assume a tax rate of 35%.
The net operating income (NOI) approach to capital structure theory focuses on the relationship between:a.Operating income and net incomeb.Operating income and earnings per share (EPS)c.Operating income and the cost of debtd.Operating income and the cost of equity
Net operating income ÷ Average operating assets = Blank______.Multiple choice question.TurnoverMarginResidual incomeReturn on investment
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.