If the Public Utility Commission Allows a Water Company to Earn

question 267

Multiple Choice

If the public utility commission allows a water company to earn a normal profit, then it is enforcing a(n) _____ rule.

• A) marginal cost pricing
• B) market pricing
• C) average cost pricing
• D) public interest

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Definitions:

Threat

A perceived danger or risk, posing a potential harm or negative outcome to someone or something.

Second-hand Smoke

Smoke that is not directly inhaled from a burning tobacco product but is breathed in from the environment, posing health risks to nonsmokers.

Exposed

Being in a state where something is uncovered or revealed, potentially subject to harm or criticism.

Effect

The result or outcome of a particular influence, action, or causal relationship.