Problem: Key comparative figures ($ thousands) for Krispy Kreme and Tastycake follows:
|
|
Krispy Kreme
|
Tastycake
|
|
|
2006
|
2005
|
2004
|
2006
|
2005
|
2004
|
|
Total Assets
|
$410,487
|
$255,376
|
$171,493
|
$116,650
|
$116,137
|
$112,192
|
|
Net Sales
|
$491,549
|
$394,354
|
$300,715
|
$162,263
|
$166,245
|
$162,877
|
a. Compute total assets turnover for the most recent two year for both Krispy Kreme and Tastycake using the data shown.
b. Which company is more efficient in generating net sales given the total assets it employs?