Question

10. If the net profit margin for a firm is 20% and the ROI is 10%, total assets turnover ratio
must be
(A) 1
(B) 2
(C) 0.5
(D) 0.2​

Answer 1

Answer:

b is your answer

Explanation:

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Answer 2

Answer:

A low net profit margin means that a company uses an ineffective cost structure and/or poor pricing strategies. Therefore, a low ratio can result from: Inefficient management. High costs (expenses) Weak pricing strategies.

Explanation:

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