The Fixed Asset Turnover Ratio Measures The

question 17

Multiple Choice

The fixed asset turnover ratio measures the:

• A)useful life of long-lived assets.
• B)the average difference between book value and disposal value of fixed assets.
• C)useful life of intangible assets.
• D)efficiency with which the investment in fixed assets produces revenue.

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Definitions:

Scientific Management

A theory in management focusing on improving economic efficiency, especially labor productivity, by systematically analyzing workflow and processes.

Frederick Taylor

was an American mechanical engineer who sought to improve industrial efficiency and is known as the father of scientific management.

Administrative Principles

Guidelines or rules that form the basis of administrative practices designed to efficiently organize and manage organizations.

Hawthorne Studies

A series of experiments on workplace productivity that highlighted the impact of social relations and worker satisfaction.