Which of the Following Statements Is Not True

question 236

Multiple Choice

Which of the following statements is not true?

• A) Some public goods are paid for by private philanthropy.
• B) Private provision of public goods is usually unprofitable.
• C) The free-rider problem results from the characteristics of nonrivalry and nonexcludability.
• D) Public goods are only provided by government.

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Definitions:

Allowance for Doubtful Accounts

A contra-asset account used to estimate the amount of receivables that may not be collectible.

Sole Proprietorship

A business owned and operated by a single individual, with no legal distinction between the owner and the business entity.

Division of Partnership Income

The method or agreement by which profits are distributed among partners in a partnership.

Financial Statements

Compiled reports detailing an organization's financial status, including the balance sheet, income statement, and cash flow statement, over a specific period.