Which of the Following Is Not an Example of Fulfilling

question 41

Multiple Choice

Which of the following is not an example of fulfilling social objectives through stock ownership?

• A) Selling stock of companies that did business in South Africa when it had a policy of racial discrimination.
• B) Divesting from Chinese companies that made products using forced labor.
• C) Selling stock of companies with a below-market rate of return.
• D) Not investing in Burmese companies that had been accused of human rights abuses.

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Definitions:

Lease

A contractual agreement where one party (the lessor) allows another party (the lessee) to use an asset for a specified period in exchange for payment.

Average Total Cost

The total cost of production (fixed plus variable costs) divided by the quantity of output produced, representing the average cost per unit of output.

Marginal Cost

The amount spent on producing an incremental unit of a product or service.

Output

Refers to the amount of product or service produced within a given period by a firm, industry, or country.