Asset turnover ratio

Description

In financial accounting, an asset is an economic resource. Anything tangible or intangible that is capable of being owned or controlled to produce value and that is held to have positive economic value is considered an asset. Asset turnover is a financial ratio that measures the efficiency of a company’s use of its assets in generating sales revenue or sales income to the company.

Related formulas

Variables

ATRAsset turnover ratio (dimensionless)
NSRNet Sales Revenue (dimensionless)
ATAAverage Total Assets (dimensionless)