A Negative Externality Is Created by

question 129

Multiple Choice

A negative externality is created by

• A)cleaning up the sidewalk on your block.
• B)graduating from university.
• C)repainting the house you live in to improve its appearance.
• D)keeping a junked car parked on your front lawn.

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Definitions:

Demand-Dependent Inventories

Inventory levels that are maintained based on current demand forecasts, adjusting to meet fluctuations in market requirements.

Aging Schedule

A report listing unpaid customer invoices and unused credit memos by date ranges, used to manage and monitor credit and collections.

Average Collection Period

The average number of days it takes for a business to receive payments owed by its clients.