Which of the Following Measurements Would Not Be Affected by the Choice

question 22

Multiple Choice

Which of the following measurements would not be affected by the choice of depreciation methods?

• A)Debt-to-assets ratio
• B)Total assets
• C)Total cash flow from investing activities
• D)Return-on-equity ratio

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Definitions:

December Futures Contracts

Futures contracts that are set to expire in the month of December, often traded for commodities or financial instruments.

Cotton

A natural fiber and a commodity traded globally, used primarily in the textile industry.

Profit Or Loss

The financial result of a company’s operations and activities for a specific period, indicating the difference between revenues and expenses.

Wheat Futures Contracts

A standardized contract to buy or sell a specific amount of wheat at a future date, used for hedging or speculative purposes in the commodities market.