Which of the Following Is Most Likely to Be Allowed

question 46

Multiple Choice

Which of the following is most likely to be allowed under WTO rules?

• A)The United States decides to ban the consumption and production of cheese made from unpasteurized milk in order to guarantee that the food people eat is safe.
• B)The United States decides to ban the importation of foreign made cigarettes in order to reduce lung cancer in the United States, without putting any restriction on the sale of local cigarettes.
• C)Great Britain outlaws non-British cars in an effort to reduce emissions in England, Scotland, and Wales.
• D)Japan bans the importation of American rice because it is thought that American rice may not be as nutritious as Japanese rice.

Understand the purpose and use of a debit memorandum in transactions.

Calculate and analyze the gross margin ratio and its significance in assessing company performance.

Differentiate between the perpetual and periodic inventory systems and their journal entries.

Recognize how sales discounts, returns, allowances, and freight costs affect the cost of merchandise and net sales.

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Definitions:

Heart Rate Monitor

An electronic device used to track the heart rate, often used during exercise to monitor intensity or for medical monitoring purposes.

Marginal Change

A small adjustment to an existing set of conditions or a system, measuring the effect of a one-unit increase or decrease in some variable.

Centrally-Planned Economy

An economic system where all major decisions regarding production, distribution, and consumption are made by the government.

Economic Activity

The total amount of production, distribution, and consumption of goods and services in an economy.