CFA Practice Question

There are 534 practice questions for this study session.

CFA Practice Question

Which one of the following is a way that a company can increase its intensity of asset utilization?
A. Decrease sales
B. Reduce average assets
C. Increase NOPAT (net operating profit after taxes)
Explanation: This will increase asset turnover and consequently will increase asset utilization.

User Contributed Comments 4

User Comment
murli Decreasing the assets is the most direct form,while other options are not directly related!
danlan Intensity of asset utilization means the asset turnover.
reganbaha no, asset utilisation means ROA
tomalot I said 'No' Pat!
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