Badoni Corporation Has Provided the Following Data for Its Two

question 203

Multiple Choice

Badoni Corporation has provided the following data for its two most recent years of operation: The net operating income (loss) under variable costing in Year 2 is closest to:

• A) $180,000
• B) $195,000
• C) $59,000
• D) $7,000

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Definitions:

Other-race Effect

The tendency to more easily recognize faces of the race that one is most familiar with (often one’s own race) than those of other races.

Ingroup Bias

The tendency to favor members of one's own group over those from external groups.

Social Identities

The part of an individual's self-concept derived from their perceived membership in social groups.

Outgroup Homogeneity

The perception that members of an out-group are more similar to each other than they actually are, especially when compared to the perceived diversity within an in-group.