Imagine That You Have Found Clear Evidence That There Is

question 159

Multiple Choice

Imagine that you have found clear evidence that there is a correlation between grades and coffee consumption. Which of the following is the only statement that is consistent with principles of scientific thinking?

• A) drinking more coffee will change your grades
• B) drinking more coffee will improve your grades
• C) grades influence your decision to drink coffee
• D) grades and coffee consumption are related in some way

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Definitions:

Return On Total Assets

A financial ratio that measures how effectively a company is using its assets to generate profit, calculated as net income divided by total assets.

Return On Equity

A measure of financial performance calculated by dividing net income by shareholder's equity, indicating how well a company uses investments to generate earnings growth.

Inventory Turnover

A ratio showing how many times a company's inventory is sold and replaced over a period.

Accounts Receivable Turnover

A financial metric that measures how efficiently a company collects revenue from its credit sales.