Verizon Communications Inc. is a major telecommunications company in the United States. Two recent balance sheets for Verizon disclosed the following information regarding fixed assets:
End of Year (in millions) Beginning of Year (in millions)
Property, plant, and equipment $252,835 $246,498
Less accumulated depreciation 163,549 157,930
Property, plant, and equipment (net) $ 89,286 $ 88,568
Verizon’s revenue for the year was $130,863 million. Assume that the fixed asset turnover ratio for the telecommunications industry averages approximately 1.1.
Determine Verizon’s fixed asset turnover ratio. Round to one decimal place.