Global Standardization of Operations

question 53

Multiple Choice

Global standardization of operations:

• A) eliminates the task of maintenance and production control.
• B) allows home office personnel to more effectively keep production specifications current.
• C) enables reasonably accurate forecasts of time required to erect plants.
• D) all of the above.
• E) two of A, B, and C.

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Definitions:

Borrowing Rate

The interest rate charged by a lender to a borrower for the use of borrowed money, often expressed as an annual percentage.

ROA

Return on Assets, an indicator of how profitable a company is relative to its total assets, showing how efficient management is at using assets to generate earnings.

ROE

Return on Equity: It's a financial performance indicator that is computed by dividing the net income by the equity held by shareholders.

Equity/Debt Ratio

An economic indicator revealing the balance between shareholder equity and borrowed funds in financing company assets.