You Would Like to Know the Minimal Level of Sales

question 381

Multiple Choice

You would like to know the minimal level of sales needed for a project to be accepted based on net present value. You should compute the sales quantity needed for the:

• A) Degree of operating leverage to equal zero.
• B) Net income to equal zero.
• C) Operating cash flow to equal zero.
• D) Discounted payback period to equal the life of the project.
• E) Payback period to equal the life of the project.

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Definitions:

Conditioned Reinforcer

A stimulus that gains its reinforcing power through its association with a primary reinforcer; also known as a secondary reinforcer.

Toilet Training

The process of teaching a young child to control their bladder and bowel movements and to use the toilet for elimination.

Discriminative Stimulus

A stimulus in operant conditioning that indicates the probability of consequence for a behavior; it signals whether reinforcement or punishment is likely to follow a specific response.

Reinforced

Strengthened or emphasized, often in the context of behavior strengthened by a reward in psychology.