Chart for the day

The chart above indicates how Flour mills, Nestle, UACN, and Cadbury are efficiently using company’s assets to increase sales, compared to their competitors.

The asset turnover ratio measures the efficiency with which a company uses its assets to produce sales. It is calculated by dividing the company’s net sales by the total assets. A company with a high asset turnover ratio operates more efficiently as compared to competitors with a lower ratio.