![]() However, as described above, inventory stockouts, capacity problems, or tight account receivables policies can all lead to a high total asset turnover and may actually be signs of poor firm management. In general, the higher the total asset turnover and lower the capital intensity, the more efficient the overall asset management of the firm will be. However, if either the fixed asset turnover or sales to working capital is extremely high, the firm may be close to its maximum production capacity. In general, high fixed asset turnover and sales to working capital are signs of good management. At some point, the firm's suppliers may revoke its ability to buy raw materials on account and the firm will lose this source of free financing. However, if the APP is extremely high and the accounts payable turnover is extremely low, the firm may be abusing the credit terms that its raw materials suppliers offer. Thus, a high APP or a low accounts payable turnover is generally a sign of good management. In general, a firm wants to pay for its purchases as slowly as possible. However, if the inventory turnover ratio is extremely high and the days' sales in inventory is extremely low, the firm may not be holding sufficient inventory to prevent running out of the raw materials needed to keep the production process going We love the power and performance of this cart matches with its incredible golf cart accessories. The copper front section gives the impression that this is an Anser-style, but with the additional stability of the two prongs from the toe and heel. The S4 is a golf cart that works for both the course and around your town. This fang-shaped putter is comprised of 2/3 steel weight, thanks to a thicker back flange, which moves the CG further back in the head to raise the MOI. At the top of our list is the EZ Go Express S4. That is, it wants to turn inventory over as quickly as possible. Best Golf Cart Overall: EZ-Go Express S4. In general, a firm wants to produce a high level of sales per dollar of inventory.
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