A fiRm Has Sales of $650,969 and Is Operating at 83

question 337

Multiple Choice

A firm has sales of $650,969 and is operating at 83% capacity. The firm has total assets of $498,300 and current assets of $86,900. What is the capital intensity ratio at full capacity?

• A) .52
• B) .64
• C) 1.04
• D) 1.58
• E) 1.92

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Definitions:

Degrees of Freedom

The quantity of autonomous numbers or measures that can be allocated to a statistical distribution while still adhering to all restrictions.

Sample Size

The number of observations or elements drawn from a larger population for the purpose of statistical analysis.

Null Hypothesis

A hypothesis that there is no effect or no difference, and it serves as the default assumption in statistical hypothesis testing.

Correlation Coefficient

A statistical index ranging from -1 to 1 that measures the degree of association between two variables.