Compute the fixed asset turnover ratio for each company

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Fixed asset turnover ratioAmazon.com, Inc.Amazon Netflix a is the world's leading Internet retailer of merchandise and media. Amazon also designs and sells electronic products, such as e-readers. Netflix, Inc. is the world's leading Internet television network. Both companies compete in the digital media and streaming space. However, Netflix is more narrowly focused in the digital streaming business than is Amazon. Sales and average book value of fixed assets information (in millions) are provided for Amazon and Netflix for a recent year as follows:

                                                  Amazon              Netflix

Sales                                 $107,006           $6,780

Average book value of fixed assets 19,403            162

Problem 1: Compute the fixed asset turnover ratio for each company.

Reference no: EM132899989

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