Which One of the Following Ratios Identifies the Amount of Assets

question 57

Multiple Choice

Which one of the following ratios identifies the amount of assets a firm needs in order to generate $1 in sales?

• A)current ratio
• B)equity multiplier
• C)retention ratio
• D)capital intensity ratio
• E)payout ratio

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Definitions:

Risk Levels

The degree to which an investor or business is exposed to potential financial loss or gains.

Standard Deviation

An evaluative statistical figure expressing the level of fluctuation or diversity among values in a particular dataset.

Rate Of Return

A rise or drop in an investment's value within a specific timeframe, shown as a percentage of the investment’s original cost.

TSX

The Toronto Stock Exchange, a major stock exchange in Canada where stocks of companies are bought and sold.