Cash Return on Assets Indicates the Amount of Operating Cash

question 85

True/False

Cash return on assets indicates the amount of operating cash flow generated for each dollar invested in assets.

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Definitions:

Savings

The portion of income not spent on consumption of goods and services but kept aside, usually in deposit accounts or investments.

Disposable Income

The fiscal capacity for households to commit to spending and saving following income taxation.

Savings

The portion of income not spent on consumption but kept aside for future use, often in a bank or other financial instruments.

Liquid Assets

Refers to assets that can be quickly and easily converted into cash without significant loss in value.