Which of the Following Statements About a Well-Maintained Yard Best

question 71

Multiple Choice

Which of the following statements about a well-maintained yard best conveys the general nature of the externality?

• A)A well-maintained yard conveys a positive externality because it increases the home's market value.
• B)A well-maintained yard conveys a negative externality because it increases the property tax liability of the owner.
• C)A well-maintained yard conveys a positive externality because it increases the value of adjacent properties in the neighborhood.
• D)A well-maintained yard cannot provide any type of externality.

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Definitions:

Receivables

Amounts of money owed to a company by its customers or clients for goods or services provided on credit.

Bad Debt Expense Adjustment

An accounting entry to estimate and record the amount of accounts receivable that is not expected to be collected.

Accounts Receivables Turnover

A financial ratio that measures how often a company collects its average accounts receivable over a period.

Credit Sales

Sales transactions where payment is deferred, allowing customers to purchase goods or services on credit.