Which of the following is not an asset utilization ratio?

A) Inventory turnover

B) Return on assets

C) Fixed asset turnover

D) Average collection period

Question

Business

Bronson Cross

3 January, 05:15

Which of the following is not an asset utilization ratio?

A) Inventory turnover

B) Return on assets

C) Fixed asset turnover

D) Average collection period

+1

Answers (1)

Know the Answer?

Neil Le · Answer 1

B) Return on assets

Explanation:

Asset utilization ratio shows the length of time take on average to collect its sales. Inventory turnover, Fixed asset turnover and average collection period are all the ratio calculates the average days / times to recover the sales value. So the only return on asset is a value which deals with total net income as a percent of average assets

Which of the following is not an asset utilization ratio?A) Inventory turnoverB) Return on assetsC) Fixed asset turnoverD) Average collection period

Which of the following is not an asset utilization ratio?

A) Inventory turnover

B) Return on assets

C) Fixed asset turnover

D) Average collection period