Which of the Following Is an Example of an Externality

question 117

Multiple Choice

Which of the following is an example of an externality?

• A)Drug abuse affecting David's health
• B)Sara taking a break from work
• C)A transaction between two parties, affecting them alone
• D)Tom's smoking affecting his roommate's health

Execute journal entries related to petty cash transactions, identifying discrepancies and adjusting accounts appropriately.

Evaluate the need and procedures for maintaining compensating balances with banks.

Diagnose signs of potential internal control problems within an organization.

Understand the differences in financial outcomes between FIFO and LIFO inventory costing methods during periods of increasing costs.

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Definitions:

Authoritative Parenting

A parenting style that is high in both responsiveness and demandingness, combining support with clear and consistent rules.

Decentration

Simultaneous focusing on more than one aspect or dimension of a problem or situation.

Principle

A fundamental truth or proposition that serves as the foundation for a system of belief or behavior.

Reaction Time

The amount of time required to respond to a stimulus.