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Which of the Following Is an External Cost of an Automobile

question 28

Multiple Choice

Which of the following is an external cost of an automobile? 


Definitions:

Income Statement Approach

A method of accounting or financial analysis focusing on revenues, expenses, and net income to evaluate a company's performance over a period.

Net Credit Sales

Sales made on credit minus returns and allowances, representing the actual sales revenue expected to be collected.

Allowance for Doubtful Accounts

A contra-account that reduces the total receivables on the balance sheet by an amount expected to be uncollectible.

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