The Financial Ratio Intended to Measure the Effectiveness with Which

question 61

Multiple Choice

The financial ratio intended to measure the effectiveness with which management has utilized the resources of the business,regardless of how these resources are financed,is:

• A)Gross profit rate.
• B)Current ratio.
• C)Return on assets.
• D)Return on equity.

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Definitions:

Suprasystem

A larger system that encompasses one or more sub-systems, highlighting the hierarchical and relational aspects of complex systems.

Subsystem

A component of a larger system that has its specific role and functions within the overall structure.

Systems Theory

A theoretical framework that analyzes the interconnections and interactions within a set of components to understand the complexities of systems.

Systems Theory

An interdisciplinary theory that studies complex systems in nature, society, and science, analyzing how parts interrelate and how systems work over time.