A company has net income of $43,560 with a net cash flow from operations of $91,476 and a net change in cash of $84,942.The company spent $72,600 on property,plant,and equipment during the year.The company's capital acquisitions ratio is: approximately:
A)0.60.
B)1.17.
C)1.26.
D)1.67.

Question

Quizplus · Accepted Answer

The capital acquisitions ratio is calculated as net cash flow from operations divided by capital expenditures. Here, it is $91,476 / $72,600 = 1.26.

A Company Has Net Income of $43,560 with a Net