Which of the Following Led to Overbuilding of Railroads in the 1860's

question 4

Multiple Choice

Which of the following led to overbuilding of railroads in the 1860's and 1870's?

• A)Reduction of taxes on railroads by the federal government
• B)The success of railroads in Europe
• C)The availability of financing due to public optimism
• D)The low cost of labor to construct railroads
• E)Increases in regulated freight rates by the Interstate commerce Commission

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Definitions:

Gross Profit

The difference between revenue and the cost of goods sold before deducting operating expenses, interest, and taxes.

Operating Expenses

Costs related to the primary activities of a business, excluding costs of goods sold.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold in a company, including the cost of materials and labor.

Net Sales

The amount of revenue from sales after deducting returns, allowances for damaged or missing goods, and discounts.