A Pardon That Freely and Completely Absolves an Individual from the Legal

question 13

Multiple Choice

A pardon that freely and completely absolves an individual from the legal consequences of his or her crime is a(n) __________ pardon.

• A) full
• B) executive
• C) conditional
• D) total

---

Definitions:

Net Income

The total profit of a company after all expenses, including taxes and operating costs, have been subtracted from total revenues.

Operating Leverage

A measure of how revenue growth translates into growth in operating income, indicating the proportion of fixed versus variable costs a company has.

Degree of Operating Leverage

A financial ratio that measures the sensitivity of a company's earnings before interest and taxes (EBIT) to a percentage change in sales, indicating the impact of fixed costs on profits.

High-low Method

The high-low method is an accounting technique used to estimate the variable and fixed costs of a business based on the highest and lowest levels of activity.