In Comparing a Tariff and an Import Quota, We fiNd

question 322

Multiple Choice

In comparing a tariff and an import quota, we find that

• A) the tariff and quota both generate the same amount of revenue for the U.S. Treasury.
• B) the tariff generates revenue for the U.S. Treasury, but the quota does not.
• C) the quota generates revenue for the U.S. Treasury, but the tariff does not.
• D) neither the tariff nor the quota generates revenue for the U.S. Treasury.

---

Definitions:

Statement of Stockholders' Equity

A financial statement that outlines the changes in the equity section of the balance sheet during a specific period, including investments by and distributions to shareholders.

End-of-period Spreadsheet

A reporting tool used in accounting to compile all balances from ledgers, facilitating the preparation of financial statements.

Trial Balance

A bookkeeping worksheet in which the balances of all ledgers are compiled into debit and credit account columns to ensure accuracy in the financial statements.

Closing Entries

Journal entries made at the end of an accounting period to transfer the balances of temporary accounts to permanent accounts.