In the 1970s, the Organization of Petroleum Exporting Countries (OPEC)

question 29

Multiple Choice

In the 1970s, the Organization of Petroleum Exporting Countries (OPEC) tripled the price of petroleum, causing automobile manufacturers to look for ways to produce more fuel-efficient cars by substituting aluminum and plastic for steel.This was primarily a response to the economic question of:

• A) When will each good be produced?
• B) For whom shall the goods be produced?
• C) What goods and services should a society produce?
• D) How should goods and services be produced?

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Definitions:

Fiscal Year-End

The fiscal year-end is the conclusion of a 12-month or 365-day period that a company uses for accounting purposes and preparing financial statements, which does not necessarily coincide with the calendar year.

Deferred Income Tax Liability

A tax obligation due in the future for income that has been recognized in the financial statements before it is taxable.

Tax Liability

Tax liability refers to the total amount of tax that an individual or entity is obligated to pay to a taxing authority, such as the government, based on income, property, and other applicable factors.

Income Tax Expense

The amount of money that a company owes to the government for income earned during a fiscal period.