Select the Correct Statement from the Following

question 183

Multiple Choice

Select the correct statement from the following:

• A)Profit margin reflects a company's ability to produce net sales from total assets.
• B)Total asset turnover reflects the percent of net income in each dollar of net sales.
• C)Return on total assets can be separated into the gross margin ratio and debt ratio.
• D)A high return on total assets is desirable.
• E)Analysis of return on total assets is not beneficial in evaluating profitability.

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Definitions:

Power and Loyalty Cliques

Groups within an organization characterized by their members' mutual influence and allegiance, which can impact workplace dynamics and politics.

Destructive Competition

A form of competition that negatively affects the parties involved, often leading to unethical behavior, reduced profits, or diminishing market quality.

Groupthink

A mental occurrence within a team where the need for unity or agreement leads to unwise or ineffective choices due to collective thinking.

Cohesive In-Groups

Social groups that exhibit a high degree of solidarity, unity, and loyalty among their members, often resulting in a strong sense of belonging and collective identity.