hard · CFA Level I fsa
Pinion Logistics is evaluating the impact of revaluing its fleet under IFRS versus maintaining historical cost under US GAAP. The fleet has a carrying value of 150,000,000 and a fair value of180,000,000.
If Pinion adopts the revaluation model, which of the following ratios will remain unchanged relative to the US GAAP cost model?
- Net Profit Margin.
- Total Asset Turnover.
- Debt-to-Equity Ratio.
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