Return on assets ratio is calculated by: Select one: O a. Net income divided by average assets O b. Average assets divided by net income O c. Net sales by average total assets O d. Gross profit divided by average total assets The book value of an asset is: Select one: O a. The fair value of an asset O b. Cost less depreciation expense O c. Cost less salvage value O d. Cost less accumulated depreciation What ratio indicates the dollar amount of sales generated for each dollar invested in assets? Select one: O a. Gross profit ratio O b. Inventory turnover ratio O c. Return on assets ratio O d. Asset turnover ratio Which of the following is a correct statement regarding the straight-line method of depreciation? Select one: O a. Results in higher amounts of depreciation expense in the early years of the asset's life O b. An equal amount of depreciation expense is recorded each year of the asset's life O c. The asset's salvage value is ignored for computing depreciation O d. It is not necessary to prorate the annual depreciation over the period of time the asset is used for assets purchased during the fiscal year. O e. All of the above are correct