Which of the following is not an asset utilization ratio?
A) Inventory turnover
B) Return on assets
C) Fixed asset turnover
D) Average collection period

Question

Quizplus · Accepted Answer

Return on assets is a profitability ratio, not an asset utilization ratio. The other options, inventory turnover, fixed asset turnover, and average collection period, all measure how well a company is using its assets to generate revenue or manage costs.

Which of the Following Is Not an Asset Utilization Ratio