ASSET TURNOVER RATIO Definition

Bookmark and Share

ASSET TURNOVER RATIO is a general measure of a firms ability to generate sales in relation to total assets. It should be used only to compare firms within specific industry groups and in conjunction with other operating ratios to determine the effective employment of assets. Formula: REVENUE/ASSETS.

Learn new Accounting Terms

SUBSTANTIATED is where the subject is supported with proof or evidence.

PARETO PRINCIPLE/LAW see 80 - 20 RULE.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.