What Is the Primary Purpose of the General Agreement on Tariffs

question 97

Multiple Choice

What is the primary purpose of the General Agreement on Tariffs and Trade (GATT) ?

• A) to create intellectual property regulations
• B) to encourage worldwide trade
• C) to ensure that every nation receives its fair share of any revenues generated from international trade and tariffs
• D) to prevent wars based on trade issues

---

Definitions:

Inventory Turnover

A figure representing the frequency at which a business's stock is both sold and refilled over an assigned period, showing the adeptness of inventory administration.

Accounts Receivable Turnover

A financial metric that measures how efficiently a company collects payments from its customers by dividing total sales by average accounts receivable.

Total Asset Turnover

A ratio that evaluates the effectiveness of a firm's utilization of its assets to produce sales income.

Equity Multiplier

A financial leverage ratio that measures the portion of a company's assets that are financed by its shareholders' equity.