A manager could manipulate improve)the asset turnover ratio by failing to replace older assets on a timely basis.

Name: A manager could manipulate improve)the asset turnover ratio by failing to replace older assets on a timely basis.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

By not replacing older assets, the value of the assets on the balance sheet decreases, which can increase the asset turnover ratio. However, this is not a sustainable practice and could ultimately hurt the company's performance in the long run.

A Manager Could Manipulate Improve)the Asset Turnover Ratio by Failing