If net profit margin is 5.0 percent, rate of asset turnover is 4.0x, and financial leverage is 2.0x, then return on net worth is:
a. 8.0 percent.
b. 10.0 percent.
c. 20.0 percent.
d. 40.0 percent.
e. 80.0 percent.
Question 2Faster delivery enables the supply chain to have lower warehousing costs.
Indicate whether the statement is true or false
Question 3An English-style auction starts with a high (maximum) price and decreases at regular time intervals.
Indicate whether the statement is true or false
Question 4A _____ is based on the total amount purchased during a single purchasing event.
a. single purchase discount
b. cumulative discount
c. noncumulative discount
d. one-time discount
e. functional discount
Question 5A customer service program should not consider the layout and design of the retailer's building and its fixtures.
Indicate whether the statement is true or false
Question 6A retailer has total assets of 6,000,000 and a net worth of 3,000,000 . What is the retailer's financial leverage ratio?
a. .5 times
b. 2.0 times
c. 50 percent
d. 75 percent
e. 100 percent