28 Return on Investment (ROI) measures the overall efficiency of the firm in generating return to shareholders. True False Question 29 A depletion is the process of expense allocation applied to the cost expiration of natural resources. True False Question 31 What does the retained earnings account measure? a. All undistributed earnings. b. Financial resources currently available to satisfy financial obligations. c. Payments made to shareholders in the form of cash or stock dividends. d. Cash held by the company since its inception. Question 33 It is unlikely that management can manipulate the bottom line due to the regulations in place to enforce GAAP. True False Question 35 Dividend yield shows the relationship between cash dividends and market price. True False Question 36 What is a key limitation of financial ratios? a. Ratios are screening devices. b. Ratios indicate weaknesses only. c. Ratios can be used only by themselves. d. Ratios are not predictive