1.4 An appliance retailer is facing a consumer boycott due to reports of forced labor in its supply
chain. The ratio most likely to be affected by the consumer action is: (课后题#11)
A. leverage.
B. asset turnover.
C. the current ratio.
Correct Answer: B
Consumer boycotts are most likely to result in lower revenues. The ratio that will be most directly
affected by lower revenues is the asset turnover ratio, defined as revenues/assets.
1.5
