SCENARIO 1-1 The Manager of the Customer Service Division of a Major

question 98

Multiple Choice

SCENARIO 1-1
The manager of the customer service division of a major consumer electronics company is interested in determining whether the customers who have purchased a Blu-ray player made by the company over the past 12 months are satisfied with their products.
-Referring to Scenario 1-1,the possible responses to the question "How much time do you use the Blu-ray player every week on the average?" result in

• A)a nominal scale variable.
• B)an ordinal scale variable.
• C)an interval scale variable.
• D)a ratio scale variable.

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Definitions:

Break-Even Point

The point at which total costs and total revenue are equal, resulting in no net gain or loss.

Variable Cost

A cost that changes in proportion to the level of output or activity.

Variable Costs

Costs that vary directly with the level of production or output, such as materials and labor.

Contribution Margin

The selling price per unit, minus the variable cost per unit, used to determine the profitability of products or services.