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Consider the following information on two car dealerships, L and S. Profit margin is 5% for Land 15% for S; Asset turnover is 6 for
Consider the following information on two car dealerships, L and S. Profit margin is 5% for Land 15% for S; Asset turnover is 6 for L and 2 for S. One can conclude that L utilizes a high price strategy, high productivity strategy versus S that utilizes a high productivity, low productivity strategy, a situation that must result in different return on assets. True False
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