The Margin of Safety Is

question 23

Multiple Choice

The margin of safety is:

• A) the difference between sales and contribution margin.
• B) the same as breakeven point.
• C) the amount sales can drop before reaching breakeven point.
• D) how far sales must increase to earn a profit.

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Definitions:

Intermittent Reinforcement

A conditioning schedule in which a reward or punishment is not administered every time the desired response is performed, resulting in a stronger and more resilient behavioral response.

Influence

The capacity to have an effect on the character, development, or behavior of someone or something, or the effect itself.

Empowerment

The delegation of power or authority to employees and team members in an organization, enabling them to take initiative and make decisions.

Managing Antecedents

The process of identifying and addressing the factors that precede and influence behaviors within an organizational context.