A Test That Shows a High Correlation Between Performance on the Test

question 41

Multiple Choice

A test that shows a high correlation between performance on the test and on some criterion measuring the same construct is said to possess _____ validity.

• A) discriminant
• B) divergent
• C) content
• D) convergent

---

Definitions:

Predetermined Overhead Rate

An estimated overhead cost rate used in cost accounting to allocate overhead expenses to products or job orders.

Direct Labor Costs

Compensation and perks given to workers directly engaged in creating products or services.

Fixed Overhead

Regular, unchanged costs associated with operating a business, such as rent and salaries, irrespective of production levels.

Work in Process

Goods that are in various stages of completion in the manufacturing process but are not yet finished products.