Which of the Following Would Result in a Positive Externality

question 116

Multiple Choice

Which of the following would result in a positive externality?

• A)A local government establishes a price ceiling on rental apartments.
• B)An electric utility burns coal that causes acid rain.
• C)Medical research results in a cure for malaria.
• D)McDonald's adds new fat-free items to its menu.

Distinguish between different types of bonds and their legal implications.

Explain the treatment and development of negligent misstatement and its impact on negligence law.

Understand the purpose and functions of self-governing professional bodies, including their disciplinary actions.

Identify and explain the potential liability professionals face and strategies to minimize such risks.

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Definitions:

Favorable

A term typically used in budgeting and accounting to describe variances or outcomes that are better than expected or budgeted figures.

Variable Overhead Rate Variance

The difference between the actual variable overhead incurred and the standard variable overhead estimated.

Variable Overhead Efficiency Variance

The difference between the actual hours taken to produce a good and the standard hours expected, multiplied by the variable overhead rate.

Favorable

A term often used in financial and operational reporting to indicate better-than-expected performance or results.