Which of the Following Is an Example of Rationalization

question 59

Multiple Choice

Which of the following is an example of rationalization?

• A) Phil fails to recognize his attraction to his son's date.
• B) Bernard asks a professor to raise his grade; when the professor refuses, Bernard throws a temper tantrum.
• C) Paul redirects anger from his boss to his dog.
• D) Hua explains that he ate an entire chocolate cake so that it wouldn't spoil in the summer heat.

Analyze and prepare a manufacturing overhead budget.

Understand the relationship between sales and production budgeting.

Calculate ending inventory levels based on sales budget projections.

Prepare a sales budget incorporating inventory considerations.

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Definitions:

Investment Opportunity

A financial asset or an avenue to invest money with a potential financial return.

Turnover

The rate at which an employer gains and loses employees, or the total sales divided by the average inventory in a given period.

Operating Assets

Assets that are used for the day-to-day operations of a business such as cash, inventory, and machinery.

Residual Income

The amount of income that an individual or company has after subtracting all costs and expenses, including the cost of capital.