Which of the Following Ratios Increases When a Company Switches

question 56

Multiple Choice

Which of the following ratios increases when a company switches from FIFO to LIFO during a period of increasing unit costs?

• A)Net profit margin.
• B)Inventory turnover.
• C)Quick.
• D)Current.

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Definitions:

Sternberg's Triangular Theory

A theory proposed by Robert Sternberg that describes love in terms of three components: intimacy, passion, and commitment.

Cognitive Component

Pertains to the mental processes involved in gaining knowledge and comprehension, including thinking, knowing, and remembering.

Commitment

Marcia’s term for personal investment in an occupation or system of beliefs.

Typological Approach

Theoretical approach that identifies broad personality types, or styles.