The Calculation Net Income/average Total Assets Is the Formula for Which

question 1

Multiple Choice

The calculation net income/average total assets is the formula for which of the following ratios

• A)Return on assets
• B) Profit margin
• C) Asset turnover
• D) Asset usage

---

Definitions:

FOB Shipping Point

A shipping term indicating that the buyer takes responsibility for the goods and covers shipping costs from the point of departure.

Debit Memo

A document issued by a buyer to a seller to correct errors, reduce amounts owed, or return funds in the case of an overpayment.

Perpetual Inventory System

An inventory management system where updates are made continuously as transactions occur, keeping a real-time track of inventory levels.

Freight Charges

Costs associated with the transportation of goods, typically paid by the shipper to the carrier.