Which of the Following Statements Correctly Describe the Effect of Accruing

question 72

Multiple Choice

Which of the following statements correctly describe the effect of accruing interest revenue at year-end?

• A) Income from operations increases.
• B) The net profit margin ratio does not change.
• C)The asset turnover ratio increases.
• D)The return on assets ratio is affecteD.The accrual of interest revenue increases both total assets and net income, which are the two components of return on assets.

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Definitions:

Lnc RNAs

Long non-coding RNAs, a type of RNA which does not code for protein but plays various roles in regulating gene expression at the chromatin level.

PolyA Tail

A stretch of adenine nucleotides attached to the 3' end of eukaryotic mRNA molecules, aiding in their stability and translation.

Introns

Regions of an RNA transcript, or its DNA template, which are removed before the RNA is translated into a protein, and do not code for protein.

Transcription

The process by which the information in a strand of DNA is copied into a new molecule of messenger RNA.