Return on assets is a better measure of profitability than profit margin because it takes into account the assets invested in the business
Indicate whether the statement is true or false
T
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When companies provide too few products in a product line, they run the risk of ________.
A. delivering products that can be easily copied B. increasing barriers to market entry C. missing important market opportunities D. having inefficiencies in production E. being differentiated from competitors
Which of the following statements is true?
a. When the Margin of Safety (MS) is low, the Degree of Operating Leverage (DOL)is high. b. As sales increase from the break-even point, MS increases but the DOL decreases. c. The relationship between the MS percentage and the DOL is: MS% = 1/DOL d. All of the above statements are true.
Which of the following statements is true of the writing requirement of contracts, according to the Statute of Frauds?
A) Contracts for the sale of goods for $500 need not be in writing. B) Contracts for the lease of goods with payments of $101 must be in writing. C) Finder's fee contracts need not be in writing. D) Promises made in consideration of marriage must be in writing.
Companies may match employee contributions to a 401(k) with cash or company stock.
Answer the following statement true (T) or false (F)