Sam Does Not Believe in Using Either Power Assertion or Love

question 8

Multiple Choice

Sam does not believe in using either power assertion or love withdrawal to discipline his daughter. He does, however, use one of the three major kinds of discipline practice. Which of the following discipline strategies does Sam use?

• A) Induction
• B) Avoidance
• C) Playfulness
• D) Imitation

Apply the high-low method to determine fixed and variable costs.

Calculate and understand the significance of the contribution margin and contribution margin ratio.

Understand the effect of changes in sales volume on costs and profitability.

Determine the operating income under different sales and cost scenarios.

---

Definitions:

Discount Rate

The discount rate is the interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows.

Present Value Interest Factors

A factor used to calculate the present value of a future amount of money or stream of payments, considering a specific interest rate and time period.

Guaranteed Residual Value

The estimated value that a leased asset will have at the end of the lease term, as guaranteed by the lessee or a third party.

Implicit Lease Rate

The interest rate embedded in a lease contract, used to calculate lease payments.