Nepotism is not permissible

If a firm produces a 10% return on assets and also a 10% return on equity, then the firm:

A. has no debt of any kind. B. is using its assets as efficiently as possible. C. has no net working capital. D. also has a current ratio of 10. E. has an equity multiplier of 2.

Detecting future cash flow shortages improves with practice in the budgeting process

Indicate whether the statement is true or false.