If the Volume of Sales Is $6,000,000 and Sales at the Break-Even

question 70

True/False

If the volume of sales is $6,000,000 and sales at the break-even point amount to $5,000,000, the margin of safety will be 20%.

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Definitions:

Negative Reinforcement

A behavioral psychology concept involving the removal of an unpleasant stimulus to increase the likelihood of a desired response.

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with an unconditioned stimulus, eventually comes to trigger a conditioned response.

Fixed Ratio

A schedule of reinforcement where a response is reinforced only after a specified number of responses.

Classical Conditioning

A learning process that occurs through associations between an environmental stimulus and a naturally occurring stimulus.