Which of the Following Options Is an Example of a Non-Causal

question 5

Multiple Choice

Which of the following options is an example of a non-causal relationship?

• A) Salesman height and average monthly sales
• B) Number of customers and revenue
• C) Daily temperature and number of ice-creams sold
• D) Income levels and average restaurant spend

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Definitions:

Sales Forecast

A sales forecast is the projection of the amount of revenue a company will generate through sales activities over a specific period.

Cash Receipts

Represents the money received by a business during a specific period, including revenues from sales, services, and loans.

Credit Sales

Credit Sales are transactions where the purchaser buys goods or services but the payment to the seller is delayed according to agreed terms, rather than paid in full at the time of sale.

Uncollectible

Refers to accounts receivable that a company deems unlikely to be collected and is therefore written off as a bad debt expense.