Let’s Say You Want to Open a Shoe Store That

question 102

Multiple Choice

Let’s say you want to open a shoe store that will specialize in high-end shoes. But before you do, you want to determine how many pairs of shoes you have to sell in the first year to break even (have no profit or loss) . You also want to know what your profit will be in year two. You have been busy estimating some revenues and costs. Here is what you have so far:

-What is the breakeven point in units?

• A)approximately 3,750 pairs of shoes
• B)approximately 7,500 pairs of shoes
• C)approximately 4,000 pairs of shoes
• D)approximately 8570 pairs of shoes

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Definitions:

Short-Term Memory

The component of memory where small amounts of information can be stored for a short period of time, typically seconds to minutes.

Prefrontal Cortex

A region of the frontal lobe of the brain involved in decision making, planning, and personality expression.

Hippocampus

A critical brain structure involved in the formation of new memories and is also associated with learning and emotions.

Amnesia

A condition characterized by a partial or total loss of memory.