Which of the Following Is an Example of Deregulation

question 75

Multiple Choice

Which of the following is an example of deregulation?

• A) A country that implements a simplified income tax filing system
• B) A country that takes over a leading private bank to prevent it from filing for bankruptcy
• C) A country that provides agricultural subsidies to farmers
• D) A country that encourages foreign direct investment

---

Definitions:

Current Assets

Current assets are short-term, liquid assets that a company owns and are expected to be converted into cash, sold, or consumed within one year or within a business's operating cycle, whichever is longer.

Acid-Test Ratio

A financial metric that measures a company's ability to pay its short-term liabilities with its quick assets (cash, marketable securities, and receivables).

Prepaid Expenses

Expenses paid in advance for goods or services to be received in the future, recognized as assets on a company's balance sheet until they are consumed or used.

Current Liabilities

Short-term financial obligations that are due within one year or within a normal operating cycle.