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Posted: May 21st, 2024

The following financial statement data for years ending December 31

Ratio of net sales to assetsThe following financial statement data for years ending December 31 for Edison Company are shown below.20142013Net sales$1,884,000$1,562,000Total assets:Beginning of year770,000650,000End of year800,000770,000a. Determine the ratio of net sales to assets for 2014 and 2013.b. Does the change in the ratio of net sales to assets from 2013 to 2014 indicate a favorable or an unfavorable trend?

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