Which of the Following Is the Correct Formula for the Asset

question 28

Multiple Choice

Which of the following is the correct formula for the asset turnover ratio?

• A) Net sales / Average total assets
• B) Net sales / Cost of goods sold
• C) Net sales / Net assets
• D) Net profit / Net sales

Describe the process and significance of the secretary of state's approval of articles of incorporation.

Identify the concept of watered shares and the responsibility of the board of directors in share valuation.

Explain the process of capitalizing a newly formed corporation, including issuing equity and debt securities.

Understand the legal framework under the Model Business Corporation Act (MBCA) regarding share issuance, promoter's liability, and shareholder rights.

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Definitions:

Hypoxia

A condition where the body or a region of the body is deprived of adequate oxygen supply.

Black Lung Disease

A lung disease caused by inhaling coal dust over a long period, leading to lung damage and breathing difficulties.

Coal Mine

An excavation in the Earth for extracting coal, a fossil fuel used primarily for generating electricity and heating.

Pneumonia

An infection that inflames the air sacs in one or both lungs, which can fill with fluid or pus, causing coughing, fever, and difficulty breathing.