A company had total assets of $745,000,total cash flows of $230,000,and cash flows from operations of $50,000.The cash flow on total assets ratio is equal to:
A)30.87%
B)21.74%
C)6.71%
D)5.13%
E)37.58%

Question

Quizplus · Accepted Answer

The cash flow on total assets ratio is calculated by dividing cash flows from operations by total assets. So, cash flow on total assets ratio = $50,000 / $745,000 = 0.0671 or 6.71%. Therefore, the correct answer is C.

A Company Had Total Assets of $745,000,total Cash Flows of $230,000,and