The Reason Why Response Scales Are Generally Limited to Fewer

question 25

Multiple Choice

The reason why response scales are generally limited to fewer than nine options is that anything:

• A) higher is difficult to statistically analyze.
• B) higher is subject to a floor effect.
• C) higher fails to provide adequate flexibility in responding.
• D) higher creates meaningless distinctions.

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Definitions:

Retained Earnings

Earnings after expenses and taxes that are reinvested in the assets of the firm and belong to the owners in the form of equity.

Junk Bonds

A special type of high interest rate bond that carries higher inherent risks.