Refer to the Diagram. Arrows (1)and (2)represent

question 39

Multiple Choice

Refer to the diagram. Arrows (1) and (2) represent

• A)goods and resources, respectively.
• B)money incomes and output, respectively.
• C)output and money incomes, respectively.
• D)resources and goods, respectively.

---

Definitions:

Fixed Asset Turnover Ratio

A financial metric used to evaluate how effectively a company uses its fixed assets to generate sales.

Operating Income

The profit realized from a business's core operations, calculated before interest and taxes.

Average Fixed Assets

The mean value of a company's fixed assets, like plant and equipment, calculated over a specific period of time.

Double-Declining Balance Method

A method of accelerated depreciation calculating an asset's loss of value at double the rate of the straight-line depreciation method.