Which of the following statements about profitability measures is NOT generally true?

A) Other things equal, the firm and other investors prefer higher profitability ratios.
B) Profitability measures use values from the firm's income statement.
C) Profitability measures use values from the firm's balance sheet.
D) All of the above are true.


C

Business

You might also like to view...

Assume the indirect method is used to compute net cash flows from operating activities. For this item extracted from the financial statements—Increase in Inventory—indicate the effect on net income in arriving at net cash flows from operating activities by choosing one of the following:

a. Add to net income to arrive at net cash flows from operating activities b. Subtract from net income to arrive at net cash flows from operating activities c. Not used to adjust net income to calculate net cash flows from operating activities

Business

Acme Global decided to start offering its employees a $1,000 bonus if they encourage a friend or family member to apply to the company. The employee does not get the bonus until the new hire has been working at Acme Global for one year. Acme Global’s new policy is properly referred to as ______.

A. open recruitment B. targeted recruitment C. closed recruitment D. employee referrals

Business

Conclusions are drawn by inference from research findings, while recommendations are the writer's opinion of what action should be taken based on the conclusions

Indicate whether the statement is true or false

Business

The Clean Air Act authorizes the Environmental Protection Agency (EPA) to regulate air pollution caused by fuel and fuel additives

Indicate whether the statement is true or false

Business