Which of the following best explains a ratio of net sales to average net fixed assets that

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Which of the following best explains a ratio of “net sales to average net fixed assets” that exceeds the industry average?

a. The firm added to its plant and equipment in the past few years.

b. The firm makes less efficient use of its assets than other firms.

c. The firm has a lot of old plant and equipment.

d. The firm uses straight-line depreciation.

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Essentials Of Investments

ISBN: 9780073368719

7th Edition

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

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