Asarta Inc. is polluting into the nearby aquifer and the citizens of Buttersville demand that this be cleaned up. If the benefit to cleaning up the aquifer is estimated to be about $125,000 and the cost is estimated at $130,000, will the aquifer get cleaned?
A. Uncertain, with the information given.
B. No, because the costs outweigh the benefits.
C. Yes, because the benefits outweigh the costs.
D. Yes, because the benefit is high.
Answer: B
You might also like to view...
The present value of net benefits (PVNB) is
a. found as (PVB – PVC) b. equal to the ratio of PVB to PVC c. equal to the ratio of PVC to PVB d. not relevant to benefit-cost analysis
The ________ tax is similar to the sales tax
A) payroll B) value-added C) wealth D) excise
Suppose that the demand for corn is price inelastic. If a technological advance makes corn farms more productive, the equilibrium price of corn will ________ and the farmers' total revenue will ________
A) rise; increase B) rise; decrease C) fall; increase D) fall; decrease
In general, a dry cleaner in a small town is ______________ likely to be unethical in his business practices than a dry cleaner in a large city. This is because the larger a percentage of the population one person is, the _____________likely that person will have to further engage with people he encounters
A) more; less B) less; less C) more; more D) less; more