In Shoetown,a Rancher Takes $0 Worth of Inputs and Produces

question 58

Multiple Choice

In Shoetown,a rancher takes $0 worth of inputs and produces animal skins,which he sells to the tanner for $400.The tanner then sells leather to the shoemaker for $700,and the shoemaker then sells $1200 worth of shoes.The value added from these transactions is

• A)$800.
• B)$1000.
• C)$1200.
• D)$2300.
• E)$2500.

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Definitions:

Strict Liability

A legal doctrine that makes an individual or entity responsible for damages or harm caused by their actions, regardless of fault or negligence.

Reasonable Doubt

A standard of proof in criminal law that requires the prosecution to prove the defendant's guilt to such a degree that a reasonable person would have no question of the defendant's guilt.

Liability

A legal obligation to settle a debt or responsibility, which can arise from contracts, torts, or statutes requiring individuals or entities to compensate for losses or damages caused.

False Entries

Incorrect or misleading information entered into a record or document, particularly with the intent to deceive.