Use the Following to Answer Questions

question 52

Multiple Choice

Use the following to answer questions :
Figure 18-4
-Suppose the country, importing oil in Figure 18-4 puts on a prohibitive tariff.The smallest prohibitive tariff would be:

• A)$0, since there is no trade at the current price.
• B)$5.
• C)$10.
• D)$20.
• E)impossible to determine exactly without more information.

---

Definitions:

Budgeting

A financial planning process that involves the estimation of future revenues and expenses over a specified period.

Personnel Expenses

Costs associated with employing staff, including wages, benefits, and taxes.

Client-visits

Meetings or engagements with clients outside the company's premises for business discussions or services.

Activity Variance

The variance between the projected budget for a task and the actual expenses incurred.