FIN & MAN ACCOUNTING (PRINT UPGRADE)
FIN & MAN ACCOUNTING (PRINT UPGRADE)
9th Edition
ISBN: 9781266233463
Author: Wild
Publisher: MCG
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Chapter 7, Problem 3DQ
To determine

Materiality Concept:

It refers to the concept of accounting that states whether a transaction or an event is material enough to be recorded in the financial statements.

To explain: Accounting constraint of materiality.

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I am trying to find the accurate solution to this financial accounting problem with appropriate explanations.
A firm has net working capital of $1,450, net fixed assets of $5,220, sales of $12,750, and current liabilities of $1,880. How many dollars worth of sales are generated from every $1 in total assets? a. $2.92 b. $1.49 c. $2.36 d. $1.50 e. $1.37
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