m's asset furnover measures: how efficiently the firm is utilizing its assets to generate sales. the firm's ability to sell a product for more than the cost of producing it. the return the firm has eamed on its past investments. the value of assets held per dollar of shareholder equity.

Total asset turnover shows. Select one: a.dollar amount investment in assets needed to generate one dollar in sales b.how well the firm's operating earnings can cover current interest obligations c.how much in sales is generated by each dollar of firm assets d.the dollar worth of firm assets each equity dollar has a claim to

The return on total assets measures A. profitability by combining the effects of the profit margin and asset turnover. B.how efficiently a company uses its assets to generate sales. C.efficiency, profitability, and liquidity. D.liquidity.

Which one of these ratios measures the efficiency at which a firm employs its assets? a. Return on equity b. Equity multiplier O C. Total asset turnover O d. P/E ratio O e. Profit margin

If your goal is to determine how effective a firm in managing its assets, you would examine O Profit margin, Current ratio, Debt ratio O Price-earnings ratio, Times-interest-earned ratio, Operating Margin O Inventory turnover, Receivables turnover, Assets turnover O Quick ratio, Debt ratio, Times-interest-earned ratio

A. Which of the following is most closely associated with the cost of using assets? a. Asset utilization b. Sales revenue c. Proportion of debt and equity d. Average price   B. Which of the following is most closely associated with the return on management’s use of assets? a. Cost of capital b. Mix of equity types c. Prime lending rate d. # of products sold

Asset utilization ratios: A. Are most important to stockholders.B. Measures the company's ability to generate a profit on sales.C. Measure how much cash is available for reinvestment into current assets.D. Relate balance sheet assets to income statement sales.

Total asset turnover indicates the company's: A. Profitability.B. Ability to use its assets to generate sales.C. Liquidity.D. Debt position

3. Asset management ratios Asset management ratios are used to measure how effectively a firm manages its assets, by relating the amount a firm has invested in a particular type of asset (or group of assets) to the amount of revenues the asset is generating. Examples of asset management ratios include the average collection period (also called the days sales outstanding ratio), the inventory turnover ratio, the fixed asset turnover ratio, and the total asset turnover ratio. Consider the following case: Franklin Aerospace has a quick ratio of 2.00x, $36,225 in cash, $20,125 in accounts receivable, some inventory, total current assets of $80,500, and total current liabilities of $28,175. The company reported annual sales of $200,000 in the most recent annual report. Over the past year, how often did Franklin Aerospace sell and replace its inventory? 8.01x 9.11x O8.28x O 2.86x The inventory turnover ratio across companies in the aerospace Industry is 9.108x. Based on this information,…

Question :- Can the financial health of a firm be based off of one ratio? Why or why not? How do you calculate Asset Turnover?