Finch Company Began Its Operations on March 31 of the Current

question 91

Multiple Choice

Finch Company began its operations on March 31 of the current year.  Finch has the following projected costs: (1) Of the manufacturing costs, three-fourths are paid for in the month they are incurred; one-fourth is paid in the following month.
(2) Insurance expense is $1,000 a month; however, the insurance is paid four times yearly in the first month of the
     quarter, (i.e., January, April, July, and October) .
(3) Property tax is paid once a year in November.
The cash payments expected for Finch Company in the month of April are

• A) $122,600
• B) $120,600
• C) $123,100
• D) $121,100

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Definitions:

Respondent Behavior

Behavior that occurs as an automatic response to a certain stimulus, often without conscious intent.

Unconditioned Response

An automatic, innate reaction to a stimulus that occurs without prior conditioning or learning.

Negatively Reinforced

A behavior strengthened because a negative condition is removed or avoided as a consequence of the behavior.

Positively Punished

The addition of an unpleasant stimulus in response to a behavior, resulting in a decrease in the likelihood of that behavior being repeated.