Which of the Following Is a Demerit of the Liability

question 34

Multiple Choice

Which of the following is a demerit of the liability system?

• A) The liability system is costly to operate.
• B) Punitive damages awards are largely governed by strict constitutional guidelines.
• C) The insurance system prohibits firms to insure against the risks of damage awards.
• D) The standard of strict liability assigns too much of the cost of injuries to consumers and too little to firms, distorting the incentives for care.

Recognize the importance of approach-avoidance conflicts in decision-making processes.

Appreciate the adaptive significance of emotions and their role in evolution and social interaction.

Understand the factors influencing a firm's credit policy and how it impacts financial management.

Comprehend the Economic Order Quantity (EOQ) model and its role in minimizing inventory costs.

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Definitions:

C3 Epimer

A type of epimer that specifically involves inversion of configuration at the carbon atom in the third position of a carbohydrate molecule.

L-Glucose

A stereoisomer of glucose that is not metabolized by humans in the same way as the more common D-glucose.

D-(+)-Glyceraldehyde

A simple sugar (monosaccharide) that is an important intermediate in metabolic processes and has a specific optical rotation.

Open-Chain Form

Describes molecules that possess a linear or branched structure without cyclic or ring formations, often contrasting with cyclic forms.