The Size of the Multiplier or Constant Depends on How

question 8

Multiple Choice

The size of the multiplier or constant depends on how rare an event occurs. The more ____ an occurrence, the ____ the constant.

• A) rare; smaller
• B) rare; larger
• C) infrequent; larger
• D) infrequent; more stable

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Definitions:

Days' Sales Uncollected

A financial metric reflecting the average number of days it takes for a company to collect payment after making a sale.