A Company Has Computed That Their "Asset Turnover" Is 3

question 137

Multiple Choice

A company has computed that their "asset turnover" is 3. Which of the following statements is the best interpretation of these results?

• A) For every $3 of sales, $1 of net profit is generated.
• B) For every $3 invested in assets, $1 in net profit is generated.
• C) For every $1 invested in assets, $3 in sales are generated.
• D) For every $3 invested in assets, $1 in sales are generated.

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Definitions:

Notation "cc"

A notation used in written correspondence indicating that a copy of the document has been sent to another party; stands for "carbon copy."

Letter And Memo

Written forms of communication, where letters are typically more formal and memos are used for internal communication.

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The variations in beliefs, behaviors, norms, and customs among different groups or societies, often influencing communication and interaction.

Flaming

The act of posting hostile or insulting messages online, typically in forums or comment sections, to provoke or offend.