Pick one of the following topic 1) Financial Statement Analysis, 2) Working Capital Management, 3) Time Value of Money, 4) Risk and Reward Tradeoff, 5) Securities Valuation, 6) Capital Budgeting
Explain its relevance to that of a financial manager in 5 sentences or less:
Which of the following would indicate improvement in a company's financial position, holding other things constant?
a)The operating profit margin decreases.
b)The times-interest-earned ratio decreases.
c)The inventory turnover increases.
d)The return on assets ratio decreases.
e) The debt ratio increases.