KapitalumschlagsrechnerFormel

## How to Calculate Asset Turnover

### Formula

**Asset Turnover = Net Revenue / Average Total Assets**

Average Total Assets = (Beginning Assets + Ending Assets) / 2

This efficiency ratio shows how many dollars of revenue each dollar of assets produces. Higher values indicate the company squeezes more revenue out of its asset base. Asset-light businesses like software firms typically have high turnover, while capital-heavy manufacturers tend to report lower figures.

Lösungsbeispiel

A company earned $1,200,000 in net revenue. Total assets were $800,000 at the start and $1,000,000 at the end of the year.

  1. Average Total Assets = ($800,000 + $1,000,000) / 2 = $900,000
  2. Asset Turnover = $1,200,000 / $900,000 = 1.33
  3. Each dollar of assets generated $1.33 in revenue.