A Special-Interest Issue Is One Whose Passage Yields

question 62

Multiple Choice

A special-interest issue is one whose passage yields

• A) private benefits equal to external benefits.
• B) large external benefits compared to private benefits.
• C) small economic losses to a small number of people and large economic losses to a large number of people.
• D) large economic gains to a small number of people and small economic losses to a large number of people.

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Definitions:

Activity Variance

The difference between actual activity levels and those projected, affecting budgeted and actual costs.

Total Expenses

The sum of all costs and expenses associated with operating a business.

Flexible Budget

A financial planning tool that dynamically adjusts to volume or activity level changes.

Spending Variance

The variance between the real expenditure and the anticipated budget over a specific timeframe.