The Chi Corp

question 58

Multiple Choice

The Chi Corp. in 2016 had revenues of $12,000, variable costs of $6,000, fixed operating costs of $2,000, interest expenses of $1,000, no taxes, and net income = $3,000. The operating leverage effect for this company is

• A) 1.333
• B) 1.5
• C) 3
• D) 4

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Definitions:

Racism

Prejudiced attitudes toward a particular race.

Negative Attitude

A negative attitude is a predisposition or a tendency to respond unfavorably or with dislike towards a particular idea, person, thing, or situation.

Automatic

Tasks or processes that occur without the need for conscious thought, often as a result of learning or repetition.

Automatic Attitudes

Immediate, involuntary responses or evaluations that one has toward an object or concept.