Which of the Following Is One of the Most Powerful

question 59

Multiple Choice

Which of the following is one of the most powerful agencies in Washington, D.C., and assists in the preparation of the federal budget and monitors federal agencies throughout the year?

• A) Office of Management and Budget
• B) Council of Economic Advisors
• C) Department of Budget and Commerce
• D) House Ways and Means Committee
• E) Senate Budget Committee

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Definitions:

Operating Income

A measure of a company's earning power from ongoing operations, equal to revenues minus operating expenses, but before taxes and interest.

Margin Of Safety

Indicates the possible decrease in sales that may occur before an operating loss results.

Variable Costs

Costs that change in proportion to the level of activity or production volume.

Fixed Costs

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance premiums, remaining constant regardless of activity levels.