Investing decision relate to borrowing funds from investors. a. false b. true Capital assets turnover measures how intensively a firm's capital assets are used to generate revenue a. true b. false A business that improves its average collection period improves its cash flow. False I True What is the ultimate objective of financial management? a. To ensure the ROA is higher than ROR b. To ensure the ROA is higher than the cost of financing To obtain a higher ROR than ROA d. To collect trade receivables faster than the payment of trade and other payables C. How is depreciation shown on the statement of cash flows? As cash inflow under operating activities b. As cash outflow under operating activities As cash inflow under investing activities d. As cash outflow under investing activities Which of following is NOT financial management? a. Ensuring that company's ROA is higher than the cost of financing. b. Ensuring that a company raises sufficient funds. Ensuring that all operating managers d. Ensuring that a company uses its resources in the most efficient and effective way C. Under generally accepted accounting principles, how the corporation match the use of depreciable assets with the revenue produced? a. By using its straight-line depreciation as a tax deductible expense b. By using accelerated depreciation c. By recording depreciation d. By using the same depreciation methods What is the scrap/salvage value deducted from to calculate depreciation? a. Discounted cost b. Purchase price Depreciated cost d. Estimated useful value c