Which of the Following Is a Positive Externality of Consumption

question 66

Multiple Choice

Which of the following is a positive externality of consumption?

• A)inoculations against a disease reduce the likelihood of transmitting it to others
• B)phosphates from laundry detergents
• C)litter from fast-food containers
• D)ozone depletion from the production of fast-food containers
• E)the greenhouse effect

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Definitions:

Return on Total Assets

Return on Total Assets is a financial ratio that measures the profitability of a company in relation to its total assets, indicating how effectively a company is using its assets to generate earnings.

Profitability

The ability of a company to generate earnings above its costs and expenses over time.

Margin of Safety

The difference between actual or projected sales and the break-even point; measures the risk of not covering fixed costs.

Liabilities to Stockholders' Equity

A ratio that measures the amount of liabilities a company has compared to its shareholders' equity.