Sonny and Cher Have a Net Worth of $35,000 and Total

question 46

Multiple Choice

Sonny and Cher have a net worth of $35,000 and total assets of $200,000.If their revolving credit and unpaid bills total $2,200,what will their long-term liabilities be?

• A)$115,000
• B)$140,000
• C)$142,200
• D)$162,800
• E)$165,000

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Definitions:

Foreign Competition

The competition that domestic companies face from companies located in other countries.

Dumping

The act of selling a product in a foreign market at a price below its cost of production or below the price in the home market, often considered unfair trade.

Commodity

A fundamental product utilized in trade that can be exchanged for others of its kind.

Tariffs and Quotas

Government-imposed trade restrictions; tariffs are taxes on imported goods, while quotas are limits on the quantity of goods that can be imported.