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Hernando and Fiona are in an advanced math class,which they love.In order to increase his effort in the class,Hernando's parents give him $5 for every "A" he earns.Fiona's parents do
Not reward her for good grades.Which of the following concepts suggests that Fiona is more
Likely to do well in the class?
Variable Costs
Expenses that change in proportion to the production output or sales.
Operating Leverage
The degree to which a company can increase its profits by increasing sales, highlighting the proportion of fixed costs in a company’s cost structure.
Forecasting Risk
The uncertainty in predicting future values due to unforeseen events or inaccuracies in analysis, affecting strategic and operational decisions.
Option To Wait
This is an investment strategy where investors hold off on making an investment decision to gather more information or wait for a more favorable market condition.
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