What Is the Proper Characterization of the European Union (EU)

question 2

Multiple Choice

What is the proper characterization of the European Union (EU) , and what is its primary accomplishment?

• A)The EU is a regional trade bloc which controls the money supply in each member country.
• B)The EU is a regional trade agreement that has eliminated most trade barriers between member countries.
• C)The EU is a trade treaty that provides a forum where member countries can resolve their trade disputes.
• D)The EU is a trading cooperative that protects member countries from unfair trade tactics by non-member countries.

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Definitions:

Treasury Stock

Shares that were issued and subsequently reacquired by the issuing corporation, reducing the amount of outstanding stock on the market.

Common Stock

A type of equity security that represents ownership in a corporation, giving shareholders voting rights and a share in profits.

Retained Earnings

The portion of a company's profits that is held back and not distributed to shareholders, reinvested in the business.

Net Income

The net income a company earns once all costs and taxes are subtracted from its total revenues.