10. Assuming that sales and operating income remain the same, which of the following statements about a company's return on investment is correct? Select one: a. It will decrease if operating assets decrease. b. It will decrease if turnover decreases. c. It will decrease if turnover increases. d. It will increase if operating assets increase.
10. Assuming that sales and operating income remain the same, which of the following statements about a company's return on investment is correct? Select one: a. It will decrease if operating assets decrease. b. It will decrease if turnover decreases. c. It will decrease if turnover increases. d. It will increase if operating assets increase.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
10.
Assuming that sales and operating income remain the same, which of the following statements about a company's return on investment is correct?
Select one:
a. It will decrease if operating assets decrease.
b. It will decrease if turnover decreases.
c. It will decrease if turnover increases.
d. It will increase if operating assets increase.
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