A Multinational Company Recently Built a Factory in Nicaragua to Take

question 57

Multiple Choice

A multinational company recently built a factory in Nicaragua to take advantage of lower labor costs. However,high sulfur emissions from the new factory are causing acid rain within Nicaragua and in surrounding countries as well. This illustrates:

• A)The fact that climate change is a more serious problem than pollution
• B)The fact that pollution is a more serious problem than climate change
• C)The effects of globalization on the environment common to all
• D)The effects of globalization on developing countries versus developed countries
• E)The need to put a halt to globalization until environmental damages can be addressed or avoided

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Definitions:

Cost of Goods Sold

Material and labor costs that are directly attributable to the manufacturing of a company’s products.

Sales

In the context of business, sales refer to the transactions and activities involved in selling goods or services to customers, often measured in terms of the total revenue generated.

Operating Cycle

The total time period from the acquisition of resources for production to the collection of payments from the sale of the goods or services produced.

Sales

The total amount of goods or services sold by a company, also a critical indicator of a company's performance and market demand.