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Elena-2011 [213]
3 years ago
13

A vice president of operations wants to evaluate the impact of reducing manufacturing expenses on the firm's return on assets. W

hich measurement should be examined
Business
1 answer:
frosja888 [35]3 years ago
3 0

Available Options Are:

a. Cost of Goods Sold

b. Net Profit Margin

c. None of these

d. Asset Turnover

Answer:

Option B. Net Profit Margin

Explanation:

The increase or decrease in cost of Goods sold can not tell whether the return on assets has increased or decreased becuase it would only tell that the expense are decreased or increased not the profit. Which means it only tells one side of the story hence Option A is incorrect.

Option B is correct because it talks about the profit. If the manufacturing cost has been decreased then the it must increase the profit. Because if the profits has increased then the return on asset will increase. Hence the Option B is correct here.

Option D is incorrect because asset turnover formula is:

Asset Turnover = Sales / Total Assets

The decrease in manufacturing cost will not increase the sales because sales and total assets are independent of manufacturing expenses hence the Option D is incorrect.

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3 years ago
10 points...........​
dedylja [7]

Double entry, a fundamental concept underlying present-day bookkeeping and accounting, states that every financial transaction has equal and opposite effects in at least two different accounts. It is used to satisfy the accounting equation:

Assets
=
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​
Assets=Liabilities+Equity
​


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So debit is the answer
7 0
3 years ago
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In terms of management levels, managers who make short-term operating decisions and direct the tasks of nonmanagerial personnel
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8 0
3 years ago
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