When a Person Smokes a Cigarette in His Car and Throws

question 176

Multiple Choice

When a person smokes a cigarette in his car and throws the butt out of the window, this is a(n)

• A) marginal cost.
• B) external cost.
• C) average total cost.
• D) public cost.

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Definitions:

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within a year or within the operating cycle of a business.

Fixed Asset Accounts

Accounts that track the purchase, depreciation, and disposal of long-term assets owned by a company.

Office Equipment

Assets like desks, chairs, computers, and printers that are necessary for the operation of an office but are not directly involved in the production process.

Delivery Equipment

Vehicles and other assets used by a business specifically for the purpose of transporting goods to customers.