Which of the Following Is True of Organic Farming as Certified

question 31

Multiple Choice

Which of the following is true of organic farming as certified in the Europe,the USA and many other countries?

• A)Organic farmers are allowed to use only organic chemicals (those containing carbon).
• B)Improvement of soil quality is an official goal of organic farming.
• C)The burning of all plant residues is encouraged in organic farming.
• D)Organic farms can use only animal manure to supply nutrients and build soil organic matter.
• E)Organic farmers can use only compost made form plant materials to supply nutrients and build soil organic matter.

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Definitions:

Ending Retained Earnings

The cumulative amount of a company's earnings not distributed to shareholders as dividends but retained by the company for reinvestment or to pay debt.

Stockholder Investments

Funds or assets that shareholders contribute to a corporation in exchange for ownership interest in the form of stock.

Dividends

Dividends refer to payments made by a corporation to its shareholder members. It is the portion of corporate profits paid out to stockholders.

Expense Recognition

An accounting principle that matches expenses with revenues in the period in which the incurred expense contributes to revenue generation, regardless of when the cash transaction happens.