Ruben, Inc

question 91

Multiple Choice

Ruben, Inc. is a management consulting firm specializing in pension plans. Its billing rate to clients is $120 per hour, and variable costs average $80 per hour. Fixed costs are $24,000 per month. The income tax rate is 20%.
If variable costs increase by 10% and management increases its billing rate by 8%, what is the effect on the breakeven point, in billable hours?

• A) It increases the breakeven point
• B) The breakeven point will not change
• C) It decreases the breakeven point
• D) Cannot be determined

Recognize the similarities and differences between public and nonprofit administrators and business owners/entrepreneurs.

Acknowledge the critical role of nonprofit organizations in democratic governance.

Identify the importance of enhancing governmental performance within a democracy.

Comprehend the motivational drivers of public servants beyond the quest for job security and structure.

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Definitions:

Applied Psychology

The branch of psychology focused on applying psychological principles and theories to solve real-world problems.

Organizational Psychology

A field of psychology that studies human behavior in work settings and applies psychological theories to organizations and their employees.

Clinical

Pertaining to the assessment and treatment of patients in medicine and psychology; often used within contexts involving medical and therapeutic settings.

Applied Psychology

The branch of psychology concerned with applying psychological principles and research to solve practical problems in various fields such as business, education, and health.