Which of the Following Transactions Will Decrease Both the Return

question 55

Multiple Choice

Which of the following transactions will decrease both the return on assets ratio and the total asset turnover ratio?

• A)Purchasing land by signing a note payable.
• B)Accruing interest expense at year-end.
• C)Accruing interest revenue at year-end.
• D)Collecting cash from an account receivable.

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Definitions:

Germany

A country in Central Europe known for its rich history, cultural heritage, and significant contributions to art, science, and philosophy.

Phrenology

A now-discredited theory and practice that claimed to determine personality, mental traits, and character by the shape of the skull.

Pseudoscience

A collection of beliefs or practices mistakenly regarded as being based on scientific method, often lacking empirical support.

Formal Discipline

A structured approach to teaching or enforcing rules and expectations, often used in educational or military settings.