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Carter Company Reported the Following Financial Numbers for One of Its

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Carter Company reported the following financial numbers for one of its divisions for the year;average total assets of $4,100,000;sales of $4,525,000;cost of goods sold of $2,550,000;and operating expenses of $1,372,000.Assume a target income of 10% of average invested assets.Compute residual income for the division:


Definitions:

Variable-Ratio

A schedule of reinforcement where a response is rewarded after an unpredictable number of responses, often used in gambling and behavior training.

Shaping

A method used in behavior therapy and training that involves reinforcing successive approximations of a target behavior until the desired behavior is achieved.

Spontaneous Recovery

A phenomenon in psychology where a previously extinguished response re-emerges after a period of no exposure to the conditioned stimulus.

Positive Reinforcer

An event or item that, when presented after a behavior, increases the likelihood of that behavior occurring again.

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