{
  "id": "asset-turnover",
  "version": "266e80795e53",
  "status": "published",
  "name": "Asset Turnover Calculator",
  "question": "What is my asset turnover?",
  "summary": "Computes the total asset turnover ratio: net sales ÷ average total assets.",
  "category": "finance",
  "subcategory": "business",
  "url": "https://www.acalculator.org/finance/asset-turnover-calculator",
  "markdown": "https://www.acalculator.org/finance/asset-turnover-calculator.md",
  "kind": "function",
  "method": "Average total assets = (beginning total assets + ending total assets) ÷ 2 (ending alone when no beginning is given). Asset turnover = net sales ÷ average total assets.",
  "assumptions": [
    "Net sales cover the year the two balance sheets start and end.",
    "Arithmetic is exact on the typed decimals; the ratio shows to 2 decimals, halves up."
  ],
  "inputs": {
    "$schema": "https://json-schema.org/draft/2020-12/schema",
    "type": "object",
    "properties": {
      "sales": {
        "title": "Net sales",
        "description": "Sales for the year after returns, allowances and discounts.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      },
      "bta": {
        "title": "Total assets at the start",
        "description": "Total assets at the start of the year. Leave empty to use the ending total alone.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      },
      "eta": {
        "title": "Total assets at the end",
        "description": "Total assets at the end of the year.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      }
    }
  },
  "outputs": {
    "turnover": {
      "label": "Asset turnover",
      "description": "Net sales ÷ average total assets: the sales made for each $1 of assets.",
      "format": "number"
    },
    "average": {
      "label": "Average total assets",
      "description": "(Beginning + ending total assets) ÷ 2, or the ending total when no beginning is given.",
      "format": "money"
    }
  },
  "defaultAnswer": {
    "inputs": {
      "sales": 120000,
      "bta": 200000,
      "eta": 250000
    },
    "outputs": {
      "turnover": 0.5333333333333333,
      "average": 225000
    },
    "text": "Net sales of $120,000.00 on average total assets of $225,000.00 give an asset turnover of 0.53."
  },
  "examples": [
    {
      "given": {
        "sales": 120000,
        "bta": 200000,
        "eta": 250000
      },
      "expect": {
        "turnover": 0.5333333333333333,
        "average": 225000
      },
      "source": "OpenStax, Principles of Finance, 6.2 Operating Efficiency Ratios (total asset turnover = net sales ÷ average total assets; Clear Lake Sporting Goods, 0.53 times). https://openstax.org/books/principles-finance/pages/6-2-operating-efficiency-ratios: 120,000 ÷ ((200,000 + 250,000) ÷ 2) = 0.53 times (rounded); exact 8/15 (Python Fraction)"
    },
    {
      "given": {
        "sales": 2000000,
        "bta": 900000,
        "eta": 1100000
      },
      "expect": {
        "turnover": 2,
        "average": 1000000
      },
      "source": "OpenStax, Principles of Finance, 6.2 Operating Efficiency Ratios (total asset turnover = net sales ÷ average total assets; Clear Lake Sporting Goods, 0.53 times). https://openstax.org/books/principles-finance/pages/6-2-operating-efficiency-ratios; hand calculation in content.mdx: 2,000,000 ÷ 1,000,000 = 2"
    },
    {
      "given": {
        "sales": 120000,
        "eta": 250000
      },
      "expect": {
        "turnover": 0.48
      },
      "source": "hand calculation in content.mdx: 120,000 ÷ 250,000 = 0.48"
    }
  ],
  "sources": [
    "OpenStax, Principles of Finance, 6.2 Operating Efficiency Ratios: total asset turnover = net sales ÷ average total assets, average = (beginning + ending) ÷ 2, and the Clear Lake Sporting Goods example (0.53 times, rounded). https://openstax.org/books/principles-finance/pages/6-2-operating-efficiency-ratios (retrieved 2026-10-18)",
    "OpenStax, Principles of Finance, 6.6 Profitability Ratios and the DuPont Method: ROE = profit margin × total asset turnover × equity multiplier. https://openstax.org/books/principles-finance/pages/6-6-profitability-ratios-and-the-dupont-method (retrieved 2026-10-18)"
  ],
  "related": [
    "inventory-turnover",
    "accounts-receivable-turnover",
    "roe",
    "debt-to-equity"
  ],
  "changelog": []
}