Refer to Scenario 7

question 77

Multiple Choice

Refer to Scenario 7.2 below to answer the question(s) that follow.
SCENARIO 7.2: You are the owner and only employee of a company that sets odds for sporting events. Last year you earned a total revenue of $100,000. Your costs for rent and supplies were $50,000. To start this business you invested an amount of your own capital that could pay you a return of $20,000 a year.
-Refer to Scenario 7.2. Your economic profit last year was

• A) -$40,000.
• B) -$10,000.
• C) $10,000.
• D) $30,000.

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Definitions:

Internal Locus of Control

The belief that one controls their own destiny and outcomes are a result of personal actions rather than external factors.

Social Learning

A theory that suggests individuals can learn new behaviors and attitudes through the observation of others, including their peers, parents, and media representations.

External Locus of Control

The belief that one's fate or the outcomes of one's actions are controlled by external forces beyond personal control.

Shaping

A method of conditioning that uses reinforcements to guide behavior toward a desired outcome, by rewarding successive approximations of the target behavior.