The TATO and FATO ratios calculate how quickly our assets are replaced by new assets. True False 2 points Ratios like ITO and DSO face a problem of comparing "apples to oranges." This is because Both ratios involves assets, but one is fixed and the other is current. Inventory and Accounts Receivables aren't related. The ratios take amounts from both the income statement and the balance sheet. Aging accounts receivables often sour, but inventory is always sweet. 2 points Ryan is comparing his company's ROA from this year to last year's ROA. This is an example of a comparison. longitudinal mirrored deductive cross-sectional
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The TATO and FATO ratios calculate how quickly our assets are replaced.docx
1. The TATO and FATO ratios calculate how quickly our assets are replaced by new assets. True
False 2 points Ratios like ITO and DSO face a problem of comparing "apples to oranges." This is
because Both ratios involves assets, but one is fixed and the other is current. Inventory and
Accounts Receivables aren't related. The ratios take amounts from both the income statement and
the balance sheet. Aging accounts receivables often sour, but inventory is always sweet. 2 points
Ryan is comparing his company's ROA from this year to last year's ROA. This is an example of
a comparison. longitudinal mirrored deductive cross-sectional
