Activities That Generate External Costs Will Likely Be Carried Out

question 40

Multiple Choice

Activities that generate external costs will likely be carried out at levels that _____ those that would be efficient.

• A)are equal to
• B)are less than
• C)exceed
• D)compete with

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Definitions:

Cash Disbursements

The funds that are paid out by a business, typically documented in a cash disbursements journal.

Money Orders

A payment order for a pre-specified amount of money, often used as a safer alternative to cash or personal checks.

Currency

The system of money in common use in a country, utilized as a medium of exchange.

Coins

Coins are metallic forms of money issued by governments as a medium of exchange, featuring denominations and usually bearing a national symbol.