In Whalen V

question 227

Multiple Choice

In Whalen v. Union Bag & Paper Co., where a paper mill polluted a farmer's creek so he sued to stop the pollution, the court held that:

• A) enjoining the defendant from polluting would cause too great an economic loss
• B) the plaintiff contributed his negligence and so could not sue the defendant
• C) the riparian rights of the defendant outweighed the rights of the plaintiff
• D) because the defendant acted without malice, no riparian rights were violated
• E) none of the other choices

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Definitions:

Variable Costing

An accounting method that only allocates variable costs to product costs, excluding fixed factory overhead.

Direct Costing

A pricing strategy that only accounts for direct costs in the production of goods, excluding fixed overhead expenses.

Indirect Costing

A method of accounting that allocates indirect costs to products or services, often used in costing overheads.

EBITDA

Term for earnings before interest, taxes, depreciation, and amortization; operating income expressed by adding back depreciation and amortization expense.