In 2014,the Zenon Company reported that property,plant and equipment were equal to 17% of total assets.In 2014,current assets were equal to 83% of total assets.In 2015 the company reported that property,plant and equipment were equal to 27% of total assets.In 2015,current assets were equal to 73% of total assets.What conclusion can be reached from this information?

Question

Quizplus · Accepted Answer

The increase in property, plant, and equipment as a proportion of total assets indicates that the company is investing in the future. The decrease in current assets as a proportion of total assets suggests that the company may be using its cash and liquid assets to make these investments, which is consistent with the idea of investing for the future rather than downsizing. Therefore, both options B and C are valid conclusions from the information provided.

In 2014,the Zenon Company Reported That Property,plant and Equipment Were