calculate_asset_turnover
Calculate asset turnover: net sales divided by average total assets — how efficiently a company generates revenue from its asset base. Formula: Asset Turnover = Net Sales / Average Total Assets. WHEN TO USE: Use to compare revenue productivity across companies or years; a falling ratio suggests assets are not generating sales efficiently. WHEN NOT TO USE: Do NOT compare asset turnover across industries — capital intensity differs fundamentally (software vs manufacturing). BEHAVIOUR: pure deterministic calculation — no side effects, no network or storage access; idempotent and non-destructive; identical inputs always produce identical outputs. Division by zero or non-finite inputs returns an explicit error instead of a number. RETURNS: JSON object { asset_turnover: number (e.g. 0.85 = 0.85x per year), inputs }. PARAMETERS: net_sales (required): Net sales / revenue for the period, e.g. 900000. Must be >= 0. begin_total_assets (required): Total assets at the START of the period, e.g. 1000000. Must be >= 0. end_total_assets (required): Total assets at the END of the period, e.g. 1100000. Must be >= 0.
Input Schema
| Name | Required | Description | Default |
|---|---|---|---|
| net_sales | Yes | Net sales / revenue for the period, e.g. 900000. Must be >= 0. | |
| end_total_assets | Yes | Total assets at the END of the period, e.g. 1100000. Must be >= 0. | |
| begin_total_assets | Yes | Total assets at the START of the period, e.g. 1000000. Must be >= 0. |