The Advantage of Professions,such as Accountants,having Self-Regulatory Codes of Ethics

question 9

Multiple Choice

The advantage of professions,such as accountants,having self-regulatory codes of ethics is:

• A) they are likely to be more lenient than legal rules and regulations enforced by the courts
• B) they can forestall action by government regulatory bodies such as the Australian Securities and Investments Commission
• C) they are developed and imposed by professionals who understand the problems of practitioners
• D) All of the above are advantages

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Definitions:

Total Cost

The aggregate expenditure related to the manufacturing of products or services, which includes both stable and changeable costs.

Variable Inputs

Inputs in production that change in quantity depending on the level of output, such as raw materials and labor.

Marginal Cost

The expense associated with manufacturing an extra unit of a product or service.

Average Fixed Cost

is calculated by dividing the total fixed costs of production by the quantity of output produced, showing the cost per unit of output.