Which of the Following Is Not a Method to Avoid

question 37

Multiple Choice

Which of the following is not a method to avoid overuse of a common resource?

• A)Setting quotas or legal limits on the quantity consumed of the common resource
• B)Issuing tradable permits for the use of a common resource
• C)Government taking over ownership of all private common resources
• D)Charging for the use of a common resource

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Definitions:

Variable Costs

Outlays that adjust in response to the volume of production or sales figures.

Fixed Manufacturing Overhead

Represents the production costs that do not change with the level of manufacturing activity, such as salaries of managerial staff and rent of the factory.

Milling Machine

A machine tool used to machine solid materials by rotating a cutting tool to remove material.

Constrained Resource

A limiting factor in production or project management that restricts output, such as limited materials, labor, or machine capacity.