Which of the Following Best Defines the Term "Capital Intensity

question 45

Multiple Choice

Which of the following best defines the term "capital intensity ratio"?

• A)sales divided by total assets, i.e., the total assets turnover ratio
• B)the percentage of liabilities that increase spontaneously as a percentage of sales
• C)the ratio of current assets to sales
• D)the amount of assets required per dollar of sales, or A*/S₀

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Definitions:

Supply

The complete quantity of a particular product or service accessible to buyers.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of the good that producers are willing to supply.

Movement

A change or development in a particular direction, often referring to social, political, or economic shifts.

Price

The cost at which a product or service is offered to consumers, reflecting its value in the market.