A Digital Thermometer Can Make Readings to the Tenth of a Degree

question 20

Multiple Choice

A digital thermometer can make readings to the tenth of a degree at either the Celsius setting or the Fahrenheit setting. Which reading would be more precise?

• A) The Fahrenheit setting, since 1 degree Fahrenheit is smaller than 1 degree Celsius
• B) The Fahrenheit setting, since 1 degree Celsius is smaller than 1 degree Fahrenheit
• C) The Celsius setting, since 1 degree Fahrenheit is smaller than 1 degree Celsius
• D) The Celsius setting, since 1 degree Celsius is smaller than 1 degree Fahrenheit

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Definitions:

Variable Cost

Financial obligations that shift depending on production or sales levels, notably materials and workforce expenses.

Fixed Cost

Costs that do not vary with the level of production or sales.

Period Cost

Expenses not directly tied to production activity, such as administrative and selling expenses, that are expensed in the accounting period in which they are incurred.

Contribution Margin Ratio

A metric that shows the percentage of sales revenue left after variable costs are deducted, indicating how much contributes to fixed costs and profits.