Fixed assets turnover ratio
Fixed assets turnover ratio is the ratio of sales to net fixed assets; it measures how effectively the firm uses its plant and equipment.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Fixed assets turnover ratio. The ratio of sales to net fixed assets; it measures how effectively the firm uses its plant and equipment.
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
