A System of Rule by Those Most Qualified to Govern

question 15

Multiple Choice

A system of rule by those most qualified to govern is known as a(n)

• A) plutocracy.
• B) democracy.
• C) meritocracy.
• D) oligarchy.

---

Definitions:

Margin Of Safety

The excess of budgeted or actual dollar sales over the break-even dollar sales.

Variable Expenses

Variable expenses are costs that change in proportion to the activity of a business, such as sales volume or production levels.

Sales

The total amount earned from selling goods or services over a specific period.

Fixed Monthly Expenses

Expenses that do not change from month-to-month, such as rent and insurance.