Net Sales Are $2,700,000, Beginning Total Assets Are $700,000, and the Asset

question 122

Multiple Choice

Net sales are $2,700,000, beginning total assets are $700,000, and the asset turnover is 3.0.What is the ending total asset balance?

• A)$900,000
• B)$1,100,000
• C)$700,000
• D)$800,000

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Definitions:

Bond

A bond is a fixed income instrument that represents a loan made by an investor to a borrower, typically corporate or governmental, where the borrower agrees to pay interest and repay the principal at maturity.

Share

An individual portion of ownership in a company or financial asset.

Distinguish

To recognize or treat someone or something as different from others based on specific characteristics or features.

Broadly Held Corporation

A corporation with a large number of shareholders, distributing ownership across a wide array of investors.