Which of the Following Best Illustrates Sustainability

question 27

Multiple Choice

Which of the following best illustrates sustainability?

• A)constructing coal mines that do not require extensive surface excavations
• B)increasing our reliance upon renewable sources of energy
• C)upgrading or replacing computers every few years to improve performance
• D)converting automobiles from gasoline to natural gas as a new source of fuel

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Definitions:

Residual Value

The estimated value that an asset will have at the end of its useful life, often used in calculating depreciation.

Indirect Method

A method used in the preparation of cash flow statements, where net income is adjusted for non-cash transactions, deferrals, and accruals to calculate net cash from operating activities.

Operating Activities

Activities directly related to the production and delivery of goods and services, which are central to a company's operations and cash flow.

Residual Value

The estimated amount that an asset is expected to be worth at the end of its useful life.