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Other things being equal, a company would prefer that its asset turnover ratio be _______________, indicating good use of assets to generate sales.

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Final answer:

A company would generally prefer a higher asset turnover ratio, which indicates effective use of assets in generating sales and is an important financial metric demonstrating operational efficiency.

Step-by-step explanation:

Other things being equal, a company would prefer that its asset turnover ratio be higher, indicating good use of assets to generate sales. The asset turnover ratio is a financial metric that measures the efficiency of a company's use of its assets in generating sales revenue. A higher asset turnover ratio suggests that the company is using its assets effectively to produce more sales, which can be a sign of healthy operational management and a strong competitive position within the industry.

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