Which Industry Would You Expect to Have the Highest Debt

question 59

Multiple Choice

Which industry would you expect to have the highest Debt to Asset ratios?

• A) Business oriented software
• B) Electric utilities
• C) Communications equipment
• D) Retail clothing

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Definitions:

Producer Surplus

The difference between what producers are willing to accept for a good or service versus what they actually receive, measuring their benefit.

Total Surplus

The sum of consumer surplus and producer surplus, representing the total benefit to society from the production and consumption of a good or service.

Tax

A financial charge or levy imposed by a government on individuals, corporations, or transactions to fund public expenditures.

Consumer Surplus

The gap between what consumers are prepared and able to spend on a product or service compared to what they end up paying in reality.