From the following information of Carlson's Restoration Corporation, compute:

a. ________ Asset turnover for Year 2.
b. ________ Inventory turnover for Year 2.
c. ________ Accounts receivable turnover for Year 2.

Year 2 Year 1
Net Sales (on credit) $150,000 $120,000
Cost of Goods Sold 90,000 84,000
Net Income 30,000 24,000
Ending Acct. Receivable 24,000 21,000
Ending Inventory 16,500 13,500
Total Assets 120,000 135,000
What will be an ideal response?

Answer:
a. 1.25 times
b. 6 times
c. 6.7 times