__________ Best Explains a Ratio of Sales/average Net Fixed Assets

question 26

Multiple Choice

__________ best explains a ratio of sales/average net fixed assets that exceeds the industry average.

• A) The firm expanded plant and equipment in the past few years
• B) The firm makes less efficient use of assets than competing firms
• C) The firm has a substantial amount of old plant and equipment
• D) The firm uses straight-line depreciation

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Definitions:

Quartz Crystals

Hard, crystalline minerals made of silica (SiO2), used in various applications due to their piezoelectric properties.

Sinkholes

Depressions or holes in the ground caused by the collapse of a surface layer, occurring in areas where the rock below is limestone, carbonate rock, salt beds, or other rocks that can be dissolved by groundwater.

Sinkhole

A natural depression formation caused by the dissolution of soluble bedrock or substrate collapse.

Weathering

The natural process where rocks are broken down or dissolved into smaller pieces by chemical, physical, or biological factors.