Why Did the U.S. Government Open Ellis Island

question 4

Multiple Choice

Why did the U.S. government open Ellis Island?

• A) It needed an outpost to house immigrants before scheduled deportation.
• B) The federal government wanted to ease prison overcrowding, so they used Ellis Island as a prison solely for criminal immigrants.
• C) It was needed as a place on which to construct the Statue of Liberty.
• D) It was a tourist site designed to show visitors how immigrants came to the United States.
• E) It was part of a federal effort to take charge of admitting immigrants to the country in light of the corruption that afflicted the city of New York's system.

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Definitions:

Net Operating Income

Income from normal business operations after subtracting operating expenses but before interest and taxes.

Fixed Manufacturing Overhead

Expenses related to manufacturing that remain constant regardless of the level of production, such as building lease payments and equipment depreciation.

Deferred Inventories

Inventory costs that are not expensed in the period they are incurred but are deferred to a future period.

Absorption Costing

This accounting practice involves adding all costs associated with production, including direct materials, labor, and both kinds of overhead expenses (variable and fixed), into the cost calculation of a product.