PART 1: True/False Statements 1. Determine whether each of the following statements is true or false.* 5 points True False If a firm's fixed assets turnover ratio is significantly higher than its industry average, this could indicate that it uses its fixed assets very efficiently or is operating at overcapacity and should probably add fixed assets. Even though Firm A's current ratio exceeds that of Firm B. Firm B's quick ratio might exceed that of A. However, if A's quick ratio exceeds B's, then we can be certain that A's current ratio is also larger than that of B. Other things held constant, the more debt a firm uses, the lower its return on total assets will be. In a manufacturing firm, all costs are product costs. Manufacturing overhead can be either a variable cost or a fixed cost