Financial reporting refers to: Multiple Choice The application of analytical tools to general-purpose financial statements. The communication of financial information useful for making investment, credit, and other business decisions. General-purpose financial statements only. Ratio analysis only. Profitability Return on equity measures a company's ability to earn net income for its stockholders. True or False Total asset turnover measures a company's ability to use its assets to generate sales and reflects on operating efficiency. True or False Return on total assets can be calculated as profit margin times total asset turnover. True or False Total asset turnover measures a company's ability to use its assets to generate sales and reflects on operating efficiency. True or False The higher the accounts receivable turnover, the less quickly accounts receivable are collected. True or False