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Which of the following statements is FALSE?A. Financial ratios help compare over time companies of different sizes and industries, and since not all sources calculate them the same way, managers should understand how they are derived.B. Asset utilization ratios describe how efficiently, or intensively, a firm uses its assets to generate sales.C. To a firm's creditors, particularly short-term creditors such as suppliers, the higher the current ratio is, the better.D. Higher margin, turnover, leverage, and dividends all generally allow a firm to grow faster over the long run.

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Answer:

B. Asset utilization ratios describe how efficiently, or intensively, a firm uses its assets to generate sales

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