The Return on Assets Effect ROA) Quantifies and Measures

question 7

Multiple Choice

The return on assets effect ROA) quantifies and measures:

• A) the indirect contribution of supply management to profitability.
• B) any increase in sales that occurs at a greater rate than the cost of assets.
• C) the impact of supply actions on inventory and the balance sheet.
• D) reductions in the allocations to the operating budget of the supply department.
• E) the effect on profitability of reduced spend compared to a sales increase.

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Definitions:

Number Of Calls

Represents the total amount of telephone calls made or received by a person or organization within a specific period.

Number Of Operators

The total count of individuals or machines operating within a given process or system at a specific time.

Number Of Complaints

A quantitative indicator of customer dissatisfaction, measuring how many complaints a business or organization has received.

Factory Overhead Cost Budget

A financial plan outlining the expected indirect manufacturing costs, including utilities, maintenance, and depreciation.