Bed Bath And Beyond: Financial Analysis

Ratio analysis is a common and useful way to compare accounting numbers to evaluate the performance. Fixed-asset turnover as the profitability analysis to interpret how well a company manages and utilizes its property, plant, and equipment asset (PP&E). The fixed-asset turnover of Bed Bath & Beyond Inc. is computed by dividing its net sales by its average total fixed assets during 2011 period. The fixed-asset turnover of 7.8355 indicates that Bed Bath& Beyond Inc. could invest in one dollar’s fixed-asset to generate the $7.8355 revenues. This ratio measures the efficiency of Bed Bath & Beyond Inc. in using its fixed asset to make sales.
From the Bed Bath & Beyond Inc. ‘s 2011 annual report, the beginning book value of PP&E is $1,119,292. To