An Organization Wants to Ensure That an Environmental Project Is

question 31

Multiple Choice

An organization wants to ensure that an environmental project is worth the investment so the costs are totaled and compared with the overall benefits. What is this technique called?

• A) risk management
• B) strategic management
• C) cost-benefit analysis
• D) none of the above

---

Definitions:

Marginal Revenue

The additional income received from selling one extra unit of a product or service.

Fixed Costs

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance premiums.

Profit-Maximizing

A strategy firms adopt aiming to produce the quantity of goods or services that leads to the highest possible profit.

Average Variable Cost

The variable cost per unit of output, calculated by dividing total variable costs by the quantity of output produced.