Mandatory Recycling Laws Have Boosted the Recycling Industry and Launched

question 51

Multiple Choice

Mandatory recycling laws have boosted the recycling industry and launched dozens of new companies making new products from recycled materials.Which of the following most closely resembles the situation discussed above?

• A) Government makes reforestation mandatory for lumbering firms leading to a rise in timber production.
• B) Government restricts industries from purchasing farmland thereby increasing agricultural produce.
• C) Government subsidizes export of beef to promote production of beef cattle.
• D) Government pollution control norms increase the production of pollution control equipments.
• E) Government restricts unfair trade practices to promote international trade.

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Definitions:

Aging Analysis

A method used to estimate the collectability of accounts receivable by categorizing them according to their age, usually in 30-day increments.

Historical Relationship

Refers to the analysis of past interactions or correlations between variables to predict future trends or behaviors.

Bad Debt Expense

This refers to the amount of receivables a company does not expect to collect and hence records as an expense on its income statement.

Outstanding Accounts Receivable

Amounts owed to a business by its customers for goods or services delivered but not yet paid for.