Circle the single correct response if the ceo of a firm were filling out a fitness report on a division manager to get a better grade? that is which 1 of these 5 ratios indicates good news for the compant in all cases assume the other things are held constant.

Question 1 5.5 pts a Circle the single correct response: If the CEO of a firm were filling out a fitness report on a division manager (i.e., "grading" the manager), which of the following situations would be likely to cause the manager to get a BETTER GRADE? That is, which 1 of these 5 ratios indicates GOOD NEWS for the company? In all cases, assume that other things are held constant. rms in the The division's total assets turnover ratio (Sales / Total Assets) is below the average for other Industry o The division's Average Collection Period (or DSO - days' sales outstanding) is 40, whereas the average for competitors is 30 Remember that DSO - Accounts Receivable / (Sales/365) O The division's inventory turnover (Sales / Inventory) is 10, whereas the average for competitors is 8. The division's debt ratio (Total debt/Total Assets) is above the average for other forms in the industry. The division's profit margin (Net income / Sales) is below the average of other firms in the industry