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Tony is a professor. He tells his partner, Justin that he wants them to move from their nice neighbourhood near the university. There's a very big old house in a run-down part of town where the prices are very low, compared to real estate in the rest of the city. Justin, a sociologist, is horrified. He is very concerned that moving to that part of town would likely put their two young children at an increase health risk. Which of the following is most likely the factor that Justin is concerned about?
Allocation Method
A strategy or system used for distributing resources or costs among various projects, departments, or segments.
Hard Rationing
Hard Rationing occurs when external financial constraints prevent a company from obtaining the capital it needs to expand or continue operations, regardless of profitability.
Operating Leverage
A measure of how revenue growth translates into growth in operating income, determined by a company’s fixed versus variable costs.
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