A Child Who Thinks That the Sun and Moon Are

question 17

Multiple Choice

A child who thinks that the sun and moon are following him is exhibiting __________ thought.

• A)convergent
• B)inductive
• C)intuitive
• D)deductive

Understand the role and implications of corporate liability in criminal acts committed by employees.

Know the legal avenues available for individuals and the government to combat and seek redress for white-collar and cybercrimes.

Understand the legal definitions and implications of insider trading.

Recognize the elements and consequences of mail and healthcare fraud.

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Definitions:

Equity Account

An account that represents the ownership interest of shareholders in a corporation, reflected in common and preferred shares.

Fixed Costs

Expenses that do not change with the level of production or sales activities, within a relevant period.

Variable Cost

Costs that vary in total in direct proportion to changes in the level of activity or volume of production.

Operating Leverage

The degree to which a firm or project can increase operating income by increasing revenue, reflecting the proportion of fixed costs to variable costs.