Which of the Following Statements Is Inaccurate with Respect to the Total

question 117

Multiple Choice

Which of the following statements is inaccurate with respect to the total asset turnover ratio?

• A)It is calculated as sales revenues divided by total assets at year-end.
• B)It is decreased when additional plant and equipment is purchased.
• C)A high ratio implies efficient management of assets.
• D)It is decreased when additional inventory is purchased.

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Definitions:

Conscientiousness

A personality trait marked by diligence, care, and discipline in pursuing goals.

Big Five

The five basic clusters of personality traits that remain quite stable throughout adulthood: openness, conscientiousness, extroversion, agreeableness, and neuroticism.

Trait Theory

A psychological model which suggests that human personality is composed of a number of broad traits or dispositional attributes.

Generativity

The psychological and social concept that involves contributing to society and the next generation's well-being, often associated with middle adulthood.