Which of the Following Is Correct

question 101

Multiple Choice

Which of the following is correct?

• A) Return on assets = Net income/Current assets
• B) Gross margin = Gross profit/Net sales
• C) Operating margin = Operating income/Total assets
• D) Return on assets = Net income/Fixed assets
• E) Return on equity = Net income/Retained earnings

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Definitions:

Salivate

The secretion of saliva, often in response to the sight, smell, or taste of food, as part of the digestive process.

Psychologists

Professionals who study cognitive, emotional, and social processes and behavior by observing, interpreting, and recording how individuals relate to one another and to their environments.

Self-employed

refers to an individual who works for themselves, rather than for an employer, taking on contracts or running their own business.

Not-for-profit

describes organizations that operate for purposes other than generating profit, focusing instead on fulfilling a mission or addressing a social need.