If a company's fixed asset turnover ratio decreased from 2008 to 2009, which of the following conclusions

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If a company's fixed asset turnover ratio decreased from 2008 to 2009, which of the following conclusions can be made?

a. The company was more efficient during 2009 in using its fixed assets to produce profits

b. The company produced less sales in 2009 for each dollar invested in fixed assets.

c. The company was less profitable in 2008.

d. The company over invested in fixed assets in 2009.

Related Book For answer-question

Taxes and Business Strategy A Planning Approach

ISBN: 9780132752671

5th edition

Authors: Myron Scholes, Mark Wolfson, Merle Erickson, Michelle Hanlon

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Posted Date: Jan 14, 2021 02:51 PM

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If a company's fixed asset turnover ratio decreased from 2008 to 2009, which of the following conclusions

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Answer d The company over invested in fixed assets in 2009 The fixed asset turnover ra... View the full answer

Taxes and Business Strategy A Planning Approach

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