Which of the Following Is False

question 58

Multiple Choice

Which of the following is false?

• A) As a result of a quota, consumers' surplus falls.
• B) As a result of a tariff, producers' surplus rises.
• C) As a result of a tariff, consumers' surplus falls.
• D) As a result of a quota, producers' surplus rises.
• E) none of the above

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Definitions:

Cost Of Goods Sold

The direct costs attributable to the production of goods sold by a company, including materials and labor.

Sale Occurs

The event in which goods or services are transferred from a seller to a buyer for monetary consideration.

Sales Return

Transactions that involve the returning of sold goods by customers, resulting in a reduction of revenue.

Credits

Credits are accounting entries that increase liabilities or equity accounts, or decrease asset or expense accounts.