Mehring Company Reported Net Sales of $540000 Net Income of $72000

question 262

Multiple Choice

Mehring Company reported net sales of $540000 net income of $72000 beginning total assets of $240000 and ending total assets of $360000. What was the company's asset turnover?

• A) 2.3 times
• B) 0.6 times
• C) 1.8 times
• D) 1.5 times

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Definitions:

Commercial Banks

Financial institutions that offer a wide range of banking services to businesses and consumers, including deposit accounts and loans.

Short-Term Loans

Loans that are scheduled to be repaid in less than a year, used to meet immediate financial needs or cash flow shortages.

Abnormal Returns

Financial returns that exceed what is expected based on risk-adjusted benchmarks or historical averages.

Macroeconomic Analysis

The examination of the overall economic dynamics, including national income, growth rates, inflation, and unemployment.