Fixed Asset Turnover Ratio Calculator

✖Net Sales are the number of sales generated by a company after the deduction of returns, allowances for damaged or missing goods, and any discounts allowed.ⓘ Net Sales [NS]			+10% -10%
✖Average Net Fixed Assets are the average of total fixed assets owned by a firm or a company.ⓘ Average Net Fixed Assets [ANFA]			+10% -10%

✖Fixed Asset Turnover Ratio formula measures the company’s ability to generate sales using fixed assets investments.ⓘ Fixed Asset Turnover Ratio [FAT]

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Fixed Asset Turnover Ratio Solution

STEP 0: Pre-Calculation Summary

Formula Used

Fixed Asset Turnover Ratio = Net Sales/Average Net Fixed Assets
FAT = NS/ANFA
This formula uses 3 Variables

Variables Used

Fixed Asset Turnover Ratio - Fixed Asset Turnover Ratio formula measures the company’s ability to generate sales using fixed assets investments.
Net Sales - Net Sales are the number of sales generated by a company after the deduction of returns, allowances for damaged or missing goods, and any discounts allowed.
Average Net Fixed Assets - Average Net Fixed Assets are the average of total fixed assets owned by a firm or a company.

STEP 1: Convert Input(s) to Base Unit

Net Sales: 90000 --> No Conversion Required
Average Net Fixed Assets: 23500 --> No Conversion Required

STEP 2: Evaluate Formula

Substituting Input Values in Formula

FAT = NS/ANFA --> 90000/23500

Evaluating ... ...

FAT = 3.82978723404255

STEP 3: Convert Result to Output's Unit

3.82978723404255 --> No Conversion Required

FINAL ANSWER

3.82978723404255 ≈ 3.829787 <-- Fixed Asset Turnover Ratio

(Calculation completed in 00.004 seconds)

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Created by Vishnu K

BMS College of Engineering (BMSCE), Bangalore

Vishnu K has created this Calculator and 200+ more calculators!

Verified by Nayana Phulphagar

Institute of Chartered and Financial Analysts of India National college (ICFAI National College), HUBLI

Nayana Phulphagar has verified this Calculator and 1500+ more calculators!

< Operating and Turnover Ratios Calculators

Working Capital Turnover Ratio

LaTeX Go Working Capital Turnover Ratio = (Net Sales/Average Working Capital)*100

Inventory Turnover Ratio

LaTeX Go Inventory Turnover Ratio = Cost of Goods Sold/Inventory

Capital Intensity

LaTeX Go Capital Intensity = Total Average Assets/Revenue

Total Asset Turnover

LaTeX Go Total Asset Turnover = Sales/Total Assets

< Important Formulas of Financial Ratios Calculators

Free Cash Flow to Firm

LaTeX Go Free Cash Flow to Firm (FCFF) = Cash Flow from Operations+(Interest Expense*(1-Tax Rate))-Net Capital Expenditures

Debt to Equity Ratio

LaTeX Go Debt to Equity (D/E) = Total Liabilities/Total Shareholders' Equity*100

Free Cash Flow

LaTeX Go Free Cash Flow = Cash Flow from Operations-Net Capital Expenditures

Debt to Assets Ratio

LaTeX Go Debt to Assets Ratio = Total Liabilities/Total Assets

Fixed Asset Turnover Ratio Formula

LaTeX Go

Fixed Asset Turnover Ratio = Net Sales/Average Net Fixed Assets
FAT = NS/ANFA

What is fixed asset turnover ratio?

The fixed asset turnover ratio formula measures the company's ability to generate sales using fixed assets investments. The fixed asset turnover ratio formula refers to a financial metric that can be used to evaluate the efficiency of the business in using its fixed assets such as plant machinery, property, etc to increase sales and earn higher revenue. Thus, it helps to assess how well the company’s long term investments are able to bring adequate returns for the business.

How to Calculate Fixed Asset Turnover Ratio?

Fixed Asset Turnover Ratio calculator uses Fixed Asset Turnover Ratio = Net Sales/Average Net Fixed Assets to calculate the Fixed Asset Turnover Ratio, The Fixed Asset Turnover Ratio formula is defined as a ratio which measures a company’s efficiency and evaluates it as a return on its investment in fixed assets such as property, plants, and equipment. Fixed Asset Turnover Ratio is denoted by FAT symbol.

How to calculate Fixed Asset Turnover Ratio using this online calculator? To use this online calculator for Fixed Asset Turnover Ratio, enter Net Sales (NS) & Average Net Fixed Assets (ANFA) and hit the calculate button. Here is how the Fixed Asset Turnover Ratio calculation can be explained with given input values -> 3.829787 = 90000/23500.

FAQ

What is Fixed Asset Turnover Ratio?

The Fixed Asset Turnover Ratio formula is defined as a ratio which measures a company’s efficiency and evaluates it as a return on its investment in fixed assets such as property, plants, and equipment and is represented as FAT = NS/ANFA or Fixed Asset Turnover Ratio = Net Sales/Average Net Fixed Assets. Net Sales are the number of sales generated by a company after the deduction of returns, allowances for damaged or missing goods, and any discounts allowed & Average Net Fixed Assets are the average of total fixed assets owned by a firm or a company.

How to calculate Fixed Asset Turnover Ratio?

The Fixed Asset Turnover Ratio formula is defined as a ratio which measures a company’s efficiency and evaluates it as a return on its investment in fixed assets such as property, plants, and equipment is calculated using Fixed Asset Turnover Ratio = Net Sales/Average Net Fixed Assets. To calculate Fixed Asset Turnover Ratio, you need Net Sales (NS) & Average Net Fixed Assets (ANFA). With our tool, you need to enter the respective value for Net Sales & Average Net Fixed Assets and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.

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