Suppose One Is Trying to Learn a List of Words

question 8

Multiple Choice

Suppose one is trying to learn a list of words. It takes eight minutes to learn the list the first time. One studies the list again the next day and finds that it takes only two minutes. How much of a time savings has occurred?

• A) 25 percent
• B) 75 percent
• C) 100 percent
• D) 125 percent

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Definitions:

Fixed Costs

Regular costs that do not vary with the scale of production or sales activities, encompassing rent, salary disbursements, and insurance contributions.

Target Net Income

The desired profit that a company aims to achieve within a specific period, often used in budgeting and planning.

Required Sales

Required sales represent the amount of sales needed to achieve a particular financial target, such as breaking even or reaching a desired profit level.

Variable Costs

Costs that change in proportion to the level of activity or production volume, such as raw materials and direct labor costs.