Which One of the Following Ratios Identifies the Amount of Assets

question 57

Multiple Choice

Which one of the following ratios identifies the amount of assets a firm needs in order to generate $1 in sales?

• A)current ratio
• B)equity multiplier
• C)retention ratio
• D)capital intensity ratio
• E)payout ratio

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Definitions:

Serious Recession

A significant period of economic decline across the economy that lasts more than a few months, typically evident in real GDP, real income, employment, industrial production, and wholesale-retail sales.

Constitutional Amendment

A formal change or addition to the constitution, requiring a specific procedure for proposal and ratification as outlined in the constitution itself.

Existing Recession

A period of temporary economic decline during which trade and industrial activity are reduced, already currently in place.

Balanced Budget

A Balanced Budget occurs when total revenues equal total expenses within a specific period, indicating financial stability without surplus or deficit.