The Cash Flow on Total Assets Ratio

question 35

Multiple Choice

The cash flow on total assets ratio:

• A) Is the same as return on assets.
• B) Is the same as profit margin.
• C) Can be an indicator of earnings quality.
• D) Is highly affected by accounting principles of income recognition and measurement.
• E) Is average net assets divided by cash flows from operations.

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Definitions:

Joint

A structure in the human or animal body where two parts of the skeleton are fitted together, allowing for movement or flexibility.

Subscapularis

A muscle in the shoulder responsible for the internal rotation of the shoulder joint.

Scapula

A flat, triangular-shaped bone that forms part of the shoulder girdle, providing attachment sites for muscles of the shoulder.

Anterior Side

The front side of the body or any anatomical structure.