The Fixed Asset Turnover Ratio Is Used to Evaluate

question 190

Multiple Choice

The fixed asset turnover ratio is used to evaluate:

• A)how well management uses long-lived tangible assets to generate revenues.
• B)whether there are enough fixed assets to pay its current liabilities.
• C)the frequency in which fixed assets are sold.
• D)the proportion of fixed assets relative to total assets.

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Definitions:

Instinctual Behavior

Actions or reactions that are performed without conscious thought, driven by inherent, biological predispositions.

Mental Activity

The operations of the mind involving thinking, understanding, learning, and remembering.

Science of Behavior

The systematic study of the actions and reactions of humans and animals in response to external or internal stimuli.

Predict Human Behavior

The process of using psychological principles, statistical data, and algorithms to forecast actions or reactions of individuals in specific situations.