Question: Return on a companys net operating assets is commonly used to evaluate nancial performance. One way to increase performance is to focus on operating assets.

Return on a companys net operating assets is commonly used to evaluate nancial performance. One way to increase performance is to focus on operating assets. Indicate how this might be done in relation to the following asset categories. Indicate also any potential problems a given action might create.

a. Receivables

b. Inventories

c. Property, plant, and equipment

d. Intangibles

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