a paper manufacturer has built a plant that meets all government-mandated environmental regulations, but the plant still produces an unpleasant odor when it is being operated. many residents in the area dislike the paper mill because of these unpleasant odors. this is an example of externality.

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A paper mill built a building that complies with all governmental environmental regulations, but even so, the plant generates an objectionable odour when it is in use. Many locals loathe the paper mill because of these repulsive odours.

One of the primary distinctions between accounting income and cash flow is the inclusion of noncash items in an income statement. The most significant of these is depreciation.

Corporate risk is represented by the project's impact on the uncertainty of the company's future earnings.

There is no consideration of diversity. the project's risk to the business as opposed to its investors. Since the project is only one of the company's assets, there is some risk that can be minimised through corporate diversification. This is referred to as inside-firm risk.

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