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When a forest is logged, it is possible for the logging to create "soil runoff," a situation in which the soil, no longer protected by trees, erodes and silts a river miles downstream from the logging area. Is soil runoff created by logging in Montana that ruins a river an example of a private cost to the lumbering company or an external cost?
Held-to-maturity Securities
Debt securities that a firm has the intent and ability to hold until they mature.
Fair Market Value
Fair market value is the estimated price at which an asset would change hands between a willing buyer and willing seller, both having reasonable knowledge of the relevant facts.
Current Assets
Assets owned by a company that are expected to be converted into cash, sold, or consumed within one year or the operating cycle.
Noncurrent Assets
Assets that are not expected to be converted into cash or used up within one year or the operating cycle, whichever is longer.
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