Which of the Following Statements Is True About NAFTA

question 241

Multiple Choice

Which of the following statements is true about NAFTA?

• A) It is a free trade agreement between Canada and the United States.
• B) It was initiated by the United States.
• C) It is built on the Canadian Free Trade Agreement (FTA).
• D) It immediately eliminated tariffs among the United States,Mexico,and Canada.
• E) It was enacted in 2002 and encourages free trade.

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Definitions:

Machine Hours

A measure of the total time that production equipment is operational, used to allocate machine-related expenses to products.

Cost Behaviour

The characteristic of costs that they either remain stable or change in response to variations in business activity levels.

Sales in Units

The total number of individual items sold by a company, as distinguished from sales measured in currency.

Indirect Costs

Expenses that are not directly traceable to a specific product or process, such as utilities or administrative salaries.