Which of the Following Would Be Considered an Operating Asset

question 196

Multiple Choice

Which of the following would be considered an operating asset in return on investment computations?

• A) Land being held for plant expansion.
• B) Treasury stock.
• C) Accounts receivable.
• D) Common stock.

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Definitions:

Decrease in Quantity

A reduction in the amount of a good or service produced or consumed.

Producer Surplus

The difference between what producers are willing to accept for a good or service versus what they actually receive, typically represented by the area above the supply curve and below the market price.

Equilibrium Price

The market price at which the quantity of a good or service demanded equals the quantity supplied, balancing out buying and selling pressures.

Producer Surplus

Producer surplus is the difference between what producers are willing to accept for a good or service versus what they actually receive, reflecting gains from trade.