Inflation can have significant effects on income statements, Ask an Expert

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Inflation can have significant effects on income statements and balance sheets, and therefore on the calculation of ratios. Discuss the possible impact of inflation on the following ratios, and explain the direction of the impact based on your assumptions.

a. Return on investment

b. Inventory turnover

c. Fixed asset turnover

d. Debt-to-assets ratio

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M9792816

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