# How do you calculate average operating assets?

To calculate the average operating assets of a firm, begin by identifying all the assets the firm uses in in its operations. The assets used for this will be everything from receivables and cash to inventory that will then be valued and monetized. Calculate these assets on the first day of the relevant period and again for the last day of the relevant period. If its calculated over a quarter, then the first and last day of that quarter are used. Add the two values, then divide the sum by two.
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