Which of the Following Could Explain a Decrease in Net

question 22

Multiple Choice

Which of the following could explain a decrease in net operating asset turnover for a company?

• A)Switching from straight line to accelerated depreciation for financial reporting purposes
• B)An increase in the financial leverage of the company
• C)Addition of a new plant for production purposes
• D)Decrease cost of production inputs

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Definitions:

Housing Discrimination

The illegal practice of denying an individual or group the opportunity to buy or rent housing based on race, gender, ethnicity, religion, or other protected status.

William Levitt

An American real-estate developer recognized for popularizing the concept of mass-produced suburbia with his development of Levittown.

Suburbanization

The process of population movement from within cities to the outskirts, creating residential and sometimes business developments.

Recessions

Periods where an economy experiences negative growth for two consecutive quarters, marked by decreased spending and increased unemployment.