Determine Whether the Type of Reasoning Used Is Inductive or Deductive

question 22

Multiple Choice

Determine whether the type of reasoning used is inductive or deductive reasoning. Matthew has already lost 5 cameras. He didn't spend a lot of money on his newest camera because he knows he'll eventually lose that one too.

• A) inductive reasoning
• B) deductive reasoning

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Definitions:

Accrued Annual Interest

Interest that has been incurred but not yet paid over a year, representing a liability for the borrower.

Sold Bonds

The action of issuing bonds to investors, raising capital by incurring long-term debt.

Long-Term Investment

A long-term investment is an account on the asset side of a company's balance sheet that represents the company's investments, including stocks, bonds, real estate, and cash, held for more than one year.

Net Income

The total profit or loss of a company after all revenues, expenses, taxes, and costs have been subtracted from total revenue.