The cash flow on total assets ratio is not affected by accounting recognition and measurement.

Name: The cash flow on total assets ratio is not affected by accounting recognition and measurement.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The cash flow on total assets ratio is calculated by dividing operating cash flow by total assets. This calculation is based on actual cash flows and does not depend on accounting recognition and measurement. Therefore, the ratio is not affected by these factors.

The Cash Flow on Total Assets Ratio Is Not Affected