If Net Sales Revenue and the Average Book Value of Fixed

question 250

Multiple Choice

If net sales revenue and the average book value of fixed assets both rise 5%:

• A)the fixed asset turnover ratio will rise.
• B)the fixed asset turnover ratio will fall.
• C)the fixed asset turnover ratio will stay the same.
• D)the impact on the fixed asset turnover ratio cannot be determined since the beginning values are unknown.

---

Definitions:

Syllogism

a form of deductive reasoning consisting of a major premise, a minor premise, and a conclusion logically drawn from them.

Chemical Compound

A substance consisting of two or more different elements bonded together in a fixed proportion.

Mood

The order of the standard forms that make up the premises and conclusion of a categorical syllogism.

Syllogism

A form of logical reasoning where a conclusion is drawn from two given or assumed propositions (premises); each of which shares a common or middle term not present in the conclusion.