It Is Appropriate to Use the Fixed Assets Turnover Ratio

question 89

True/False

It is appropriate to use the fixed assets turnover ratio to appraise firms' effectiveness in managing their fixed assets if and only if all the firms being compared have the same proportion of fixed assets to total assets.

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Definitions:

Service Design Technique

A method or approach used in crafting services to make them more useful, usable, and desirable to customers, often involving tools like journey mapping and prototyping.

Automation

The use of machines and technology to perform tasks without human intervention, often to enhance efficiency and accuracy.

Modularizing

The process of breaking down a system into smaller, independent modules that can be developed, tested, and deployed separately.

External Product Development

The process of creating new products or making improvements with the aid of external partners or resources.