Which of the Following Actions Would Probably Not Encourage Efficiency

question 40

Multiple Choice

Which of the following actions would probably not encourage efficiency and recycling programs?

• A)discontinue energy and water subsidies to industries when they are processing raw materials
• B)discontinue subsidies that favor the extraction of raw materials
• C)consumers asking for and buying products made from recycled products
• D)charging a surcharge on materials when purchased that is redeemable when the consumer recycles the product
• E)discontinue subsidies that favor the extraction of raw materials and consumers asking for and buying products made from recycled products are correct because industries do not receive water and energy subsidies

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Definitions:

Asset Turnover Ratio

A financial ratio that measures the efficiency of a company's use of its assets to generate sales or revenue.

Industry Average

A benchmark or average measurement of performance or financial metrics within a particular industry sector.

Insolvency

A financial state in which an entity can no longer meet its debt obligations, leading to legal consequences such as bankruptcy.

Market To Book Value

A financial ratio used to compare a company's current market price to its book value, indicating how much shareholders are paying for the net assets of a company.