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An efficient outcome can always be reached by requiring the individual who produces the externality to fully compensate individuals for any damage inflicted.
Minimum Required Rate
The lowest acceptable rate of return on an investment demanded by an investor, considering risk factors.
Net Operating Income
The profit generated from a company's everyday operations, excluding income from investments and extraordinary items.
Operating Assets
Assets used by a business in its operational activities to generate revenue, excluding investment and non-operational assets.
Operating Assets
Assets that are used in the day-to-day operations of a business to generate revenue, such as machinery, buildings, and equipment.
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