Which of the Following Is Not a Government Incentive That

question 117

Multiple Choice

Which of the following is not a government incentive that often acts as a catalyst for FDI?

• A) increased utility rates
• B) inflation
• C) infrastructure additions
• D) a progressive tax system

Compute and analyze contribution margin in decision-making scenarios.

Understand the principle of target costing and its applications.

Differentiate between various cost concepts including product cost concept, total cost concept, and variable cost concept.

Interpret the significance and application of opportunity cost, sunk cost, and product cost distortion.

---

Definitions:

Operating Capacity

The maximum output that a business can produce using its current resources and facilities without additional investment.

Dividend Payout Ratio

A financial metric that measures the percentage of a company's earnings paid to shareholders in the form of dividends.

Projected Fixed Assets

Estimates of the value of long-term assets that a company plans to acquire and use for more than one year, for purposes such as production or administration.

Sales Capacity

The maximum amount of sales a company can achieve within a given period, based on its resources and market demand.