Which of the Following Statements Is False When a Company

question 13

Multiple Choice

Which of the following statements is false when a company sells inventory costing $700 for $1,200?

• A)Cost of goods sold increases $700.
• B)Gross profit increases $500.
• C)Stockholders' equity increases $500.
• D)Net sales increases $500.

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Definitions:

Public Good

A good that is non-excludable and non-rivalrous, meaning its consumption by one individual does not reduce its availability to others and people cannot be effectively excluded from using it.

Public Good

A good that is non-excludable and non-rivalrous, meaning it can be used simultaneously by more than one person without reducing its availability to others.

Flat Road Tax

A fixed-rate tax imposed on vehicle owners, irrespective of the vehicle's value, emissions, or usage levels.

Optimal Area

The most efficient or advantageous point or region for a particular activity or the achievement of the highest benefit given constraints.