Determine the asset turnover for all three companies

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Reference no: EM132719563

Problem - Three major segments of the transportation industry are motor carriers, such as YRC Worldwide (YRCW); railroads, such as Union Pacific (UNP); and transportation logistics services, such as C.H. Robinson Worldwide, Inc. (CHRW). Financial statement information for these three companies follows (in thousands):

 

YRC

Union Pacific

C.H. Robinson

Sales

$4,697,500

$19,941,000

$13,144,413

Average total assets

1,824,700

55,159,000

3,436,058

Required -

a. Determine the asset turnover for all three companies. Round to one decimal place.

b. Assume that the asset turnover for each company represents their respective industry segment. Interpret the differences in the asset turnover in terms of the operating characteristics of each of the respective segments.

Reference no: EM132719563

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