Selected Information for Acme Corp -When Calculating Acme's Return on Net Operating Assets in Year

question 12

Multiple Choice

Selected information for Acme Corp.:
$\begin{array}{c}\begin{array}{|l|c|}\hline & \text { Year 1 } \\\hline \text { Cash } & 1,000 \\\hline \text { Marketable securities } & 8,000 \\\hline \text { Occounts receivable-net } & 2,000 \\\hline \text { Other current assets } & 2,500 \\\hline \text { Property, plant and equipment } & 4,500 \\\hline \text { Less: accumulated depreciation } &(4,000) \\\hline \text { Gess: accumulated depreciation } & 5,000\\\hline\end{array}\begin{array}{c|c|}\hline\text { Year 2 } & \text { Year 3 } \\\hline 1,500 & 1,500 \\\hline 2,000 & 2,000 \\\hline 3,000 & 2,500 \\\hline 3,000 & 3,000 \\\hline 6,000 & 7,000 \\\hline(4,200) & (4,400) \\\hline 7,500 & 1,000\\\hline\end{array}\end{array}$
-When calculating Acme's return on net operating assets in Year 2, which of the following adjustments to the asset base is most appropriate to consider?

• A) Accumulated depreciation adjustment
• B) Intangible asset adjustment
• C) Nonoperating asset adjustment
• D) No asset adjustment

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Definitions:

Perfect Attendance

Recognition given to individuals who have not missed a day of work or school during a set period of time.

Documentation

Detailed recording of policies, procedures, and systems within an organization.

Disciplinary Action

Measures taken by an organization against employees violating policies or standards, ranging from verbal warnings to termination.

Grievances

Formal complaints or disputes brought forward by employees regarding workplace conditions or treatment.