57. Which of the following statements regarding return on investment is true? a. An increase in sales would affect the margin but not the turnover. b. JIT purchasing and JIT manufacturing could adversely affect the return on investment of companies adopting these methods. c. Accelerating the collection of accounts receivable and using cash collected to pay short-term creditors could help to increase the return on investment. d. The term operating assets is defined as plant and equipment for purposes of calculating return on investment.

June 20, 2017 mfadmin Managerial Accounting

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57. Which of the following statements regarding return on investment is true? a. An increase in sales would affect the margin but not the turnover. b. JIT purchasing and JIT manufacturing could adversely affect the return on investment of companies adopting these methods. c. Accelerating the collection of accounts receivable and using cash collected to pay short-term creditors could help to increase the return on investment. d. The term operating assets is defined as plant and equipment for purposes of calculating return on investment.