The Sales Revenue Per Dollar Invested
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Asset turnover ratio:
This ratio indicates the sales revenue per dollar invested in the assets of the business. For Apple, the sales revenue per dollar invested in the assets of the business is 1.06. For Dell, the sales revenue per dollar invested in the assets of the business is 1.70. Compare these two companies; Dell has the higher ratio, so it is more efficient to utilize its assets.

Receivable turnover ratio:
The ratio determines the average number of times the process of selling and collecting on account occurs during the period. For Apple, the average number of times this process occurs during the period is 42.34; for Dell, the average number of times this process occurs during the period is 9.97. Compare them; Apple has a higher ratio, which means that Apple holds the better faster turnover.

Days to collect:
A measure of the average number of days from the time a sale is made on account to the time it is collected. For Apple, the average number of days from sale on an account to collection is 8.62; the average number of days from sale on an account to collection for Dell is36.59. Dell has a higher number, so it takes a long time for them to collect receivables.

Inventory turnover
The ratio indicates that the number of times that the process of buying and selling inventory during the period. In a period, the number of times for Apple Company buys and sells inventory is 52.51; For Dell, the number of times is 42.60.

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Average Number Of Times And Asset Turnover Ratio. (June 12, 2021). Retrieved from https://www.freeessays.education/average-number-of-times-and-asset-turnover-ratio-essay/