Its _____ Ratio May Tell Us That a Company Generated

question 148

Multiple Choice

Its _____ ratio may tell us that a company generated an excellent return on assets in its first year and a good return in its second year.

• A)management effectiveness ratio
• B)management efficiency ratio
• C)profit margin ratio
• D)financial condition ratio

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Definitions:

Power

The capacity or ability to direct or influence the behavior of others or the course of events.

Government

The group of people with the authority to govern a country or state, making and enforcing laws and policies.

Authority

The authority or ability to issue commands, take decisions, and ensure compliance.

Enforce Decisions

The process by which authoritative rulings or policies are implemented and ensured to be followed through by the relevant parties.