CAT Corp Has Other Operating Expenses of $ 60,000

question 49

Multiple Choice

CAT Corp. has other operating expenses of $ 60,000. There has been a decrease in prepaid expenses of $ 4,000 during the year, and accrued liabilities are $ 6,000 larger than in the prior period. What were CAT's cash payments for operating expenses?

• A) $ 62,000
• B) $ 58,000
• C) $ 50,000
• D) $ 70,000

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Definitions:

Habituate

The process by which a person or animal becomes accustomed to a stimulus, leading to a decrease in response over time.

Primacy Effect

A bias towards better memory retention for items at the start of a list compared to those that come after.

Elaboration Effect

This effect describes how detailed processing and the integration of information into existing knowledge structures enhance memory retention.

Recency Effect

A memory phenomenon where the most recently presented items or experiences are likely remembered best.