Use the Information Below to Answer the Following Question(s)

question 135

Multiple Choice

Use the information below to answer the following question(s) .
Montreal Industries Inc. had the following activities during the year:

-What is Montreal's cost of goods manufactured during the year?

• A) $268,000
• B) $248,000
• C) $240,000
• D) $238,000

---

Definitions:

Free Trade

The unrestricted buying and selling of goods and services between countries without the imposition of tariffs, quotas, or other restrictions.

Domestic Producers

Companies or individuals that manufacture or produce goods and services within their home country, as opposed to importing them from abroad.

Tariffs and Quotas

These are trade policies where tariffs are taxes on imported goods, and quotas are limits on the amount of a good that can be imported.

Import Substitution

An economic policy aimed at replacing foreign imports with domestic production to promote local industries.