A Barge Owned by Oceanic Shipping Company Discharges Some of the Oil

question 47

Multiple Choice

A barge owned by Oceanic Shipping Company discharges some of the oil contained in its hold into the sea and onto the shore. Under the Oil Pollution Act, this is most likely

• A) a violation.
• B) not a violation because an oil discharge is not pollution.
• C) not a violation because a floating barge is not a stationary source.
• D) not a violation because a ship's hold is not a point source.

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Definitions:

Raw Materials

Unprocessed or primary substances used in manufacturing to create finished goods.

Retained Earnings

Retained earnings represent the accumulated net income of a company that has not been distributed to shareholders as dividends but is reinvested in the business.

FOH Volume Variance

A measurement in managerial accounting that compares the budgeted factory overhead for actual production volumes against the applied factory overhead based on standard costing.

FOH Budget Variance

The difference between the actual factory overhead costs incurred and the overhead costs allocated to production based on budgeted rates.