Continuity Theory Is Based on the Premise That

question 51

Multiple Choice

Continuity theory is based on the premise that

• A) ​daily problems are solved using strategies that have been successful in the past.
• B) ​change is uncommon in adulthood and is typically indicative of pathology.
• C) ​the maximum level of cognitive abilities is achieved in middle adulthood.
• D) ​environmental demands decline with age producing decreased press for change.

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Definitions:

Break-even Point

The point at which total costs equal total revenue, meaning the business makes neither a profit nor a loss.

Variable Cost

Costs that change in proportion to the level of production or business activity, such as materials, labor, and utility costs.

Fixed Costs

Costs that do not vary with the level of production or sales, such as rent, salary, or insurance, providing stability to a company's expense structure.

Margin of Safety

The difference between actual or projected sales and the break-even point, often expressed as a percentage.