Use the Table for the Question(s) Below

question 58

Multiple Choice

Use the table for the question(s) below.
Consider the following returns:

-The volatility on IBM's returns is closest to:

• A) 3%
• B) 13%
• C) 16%
• D) 18%

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Definitions:

Total Assets Ratio

Total assets ratio is a financial metric used to assess a company's efficiency in using its assets to generate revenue.

Net Income

The net income a company earns once all expenses and taxes are subtracted from the total revenue.

Operating Cash Flow

Cash generated from a company's normal business operations, indicating whether a company can generate sufficient positive cash flow to maintain and grow its operations.

Indirect Method

A way of preparing the cash flow statement where net income is adjusted for changes in balance sheet account balances to calculate cash flow from operating activities.