____ ratios indicate how efficiently a firm is using its assets to generate sales.
A) Liquidity
B) Asset management
C) Financial leverage
D) Equity

Question

Quizplus · Accepted Answer

Asset management ratios, such as asset turnover and inventory turnover, measure how effectively a company is using its assets to generate revenue. These ratios indicate how efficiently a firm converts its assets into sales.

____ Ratios Indicate How Efficiently a Firm Is Using Its