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Patrick Paddywagon,owner of the Paddywagon Automobile Supermarket,wanted to find out the kinds of cars he should push to graduating college students.He asked 100 university seniors to rate 10 aspects of 11 models his dealership sold: style,fuel economy,engineering,safety,performance,prestige,comfort,price,selection or options,and interior size.Each car was rated on the 10 aspects from 0 (poor) to 5 (excellent) .Each student also rated the importance of each aspect (1 = unimportant,2 = moderate importance,3 = very important) .Then each aspect rating was weighed (multiplied) by its importance rating.Next,everything was added together for a score.Each car received a score of 0 to 150.What measurement technique did Patrick use in his study?
Faithful Representation
Requires that the information be complete, neutral, and free from error.
Prepaid Insurance Expense
A current asset account that represents prepayments for insurance coverage, which will be expensed over time as the insurance coverage expires.
Expenses
Costs incurred by a business in the process of earning revenue, often categorized as operating or non-operating.
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