A Firm with a Total Asset Turnover Lower Than the Industry

question 111

Multiple Choice

A firm with a total asset turnover lower than the industry standard and a current ratio which meets the industry standard may have None of the above clone of prior item.

• A)excessive fixed assets.
• B)excessive inventory.
• C)excessive accounts receivable.
• D)excessive plant and equipment.
• E)both a and d are correct

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Definitions:

Optimal Number

The most favorable quantity or amount that yields the best outcome for a specific objective under given conditions.

Expected Number

An average or most probable value calculated based on statistical analysis or probability theory.

Supply Chain Management

The oversight of materials, information, and finances as they move from supplier to manufacturer to wholesaler to retailer to consumer, aiming to streamline a business’s supply-side activities to maximize customer value and gain a competitive advantage in the marketplace.

Loss Incurred

Refers to a financial deficit that results from a business operation, transaction, or other activities.