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Recall that Petty, Cacioppo, and Goldman conducted a study on persuasion.Students were led to believe that a comprehensive exam might be implemented at their university.They were asked to read either eight weak arguments in support of the exam or eight strong arguments.In addition, some students were told that the exam would be initiated in the following year or in ten years, well after the students' graduation (presumably!) .Finally, the researchers varied the expertise of the source of the arguments-that is, participants were told the arguments were generated by a local high school class or by a prestigious "Commission on Higher Education." The researchers measured students' attitudes toward the exam.In the end, what was the main result of this study?
Net Income
The total profit of a company after all expenses and taxes have been deducted from total revenues.
Operating Leverage
A measure of how revenue growth translates into growth in operating income, highlighting the fixed versus variable costs structure of a business.
Variable Costs
Costs that change in proportion to the level of production or sales activity, such as raw materials and direct labor.
Operating Income
Income earned from a firm's regular business operations, excluding deductions of interest and taxes.
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