Question

Sales revenues, net profits, return on sales, assets as a percentage of sales, and return on assets are measures of internal financial performance that provide a market-based view of performance.

a)True
b)False

Answer 1

The statement in the question is True.

Step-by-step explanation:

Sales revenues, net profits, return on sales, assets as a percentage of sales, and return on assets are indeed measures of internal financial performance. These measures provide a market-based view of a company's performance by assessing its sales, profitability, and efficiency in utilizing assets.

For example, sales revenues represent the total amount of money a company generates from selling goods or services, while net profits measure the company's profitability after deducting all costs and expenses.