Return on Total Assets Measures

question 123

Multiple Choice

Return on total assets measures:

• A) The percent of net income in each dollar of net sales.
• B) A company's ability to produce sales from their assets.
• C) A company's ability to produce net income from their assets.
• D) A company's ability to increase its asset base from sales.
• E) A company's ability to increase its asset base from net incomE.

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Definitions:

Electronic Goods

Electronic goods encompass consumer and industrial products that operate on electrical power, including gadgets, appliances, and computing devices.

Natural Resources

Naturally occurring items, including minerals, woodlands, aquatic sources, and fertile earth, that can be leveraged for financial gains.

Financial Institutions

Organizations that provide financial services, such as banks, credit unions, insurance companies, and investment firms.

Capital

Financial assets or the financial value of assets, such as factories and machinery, essential for producing goods and services.