In Which of the Following Examples Is the Person Likely

question 108

Multiple Choice

In which of the following examples is the person likely to show the highest and steadiest rate of response over time?

• A) In hopes of winning a big jackpot, Penny plays the slot machines at a nearby casino.
• B) Sam earns extra money by mowing his neighbors' lawns in the summer and shoveling their driveways and sidewalks in the winter. He charges $20 per job.
• C) Hoping to catch a message from her boyfriend, Wendy checks her e-mail again and again throughout the day.
• D) Jaime has a paper due once a month in his sociology course. His productivity is low at the beginning of the month and high as the deadline approaches.

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Definitions:

Simple Rate

An interest calculation method where the interest charge is calculated only on the principal amount, without compounding.

Net Operating Income

A company's income after operating expenses have been subtracted but before income taxes and interest are deducted.

Initial Investment

The amount of money used to start a project, purchase an asset, or initiate operations in a business.

Salvage Value

The projected sell-on value of a property when it reaches the end of its operational lifespan.