Exhibit 83
Use the Information Below for the Following Problem(S)

question 41

Multiple Choice

Exhibit 8.3
Use the Information Below for the Following Problem(S)
$$\begin{array} { c c c c } \text { Periad } & \begin{array} { c } \text { Return } \\\text { of Radtran } \\\text { (Percent) }\end{array} & \begin{array} { c } \text { Praxy } \\\text { Epecific Index } \\\text { (Percent) }\end{array} & \begin{array} { c } \text { True } \\\text { Ceneral Index } \\\text { (Percent) }\end{array} \\\hline 1 & 10 & 12 & 15 \\2 & 12 & 10 & 13 \\3 & - 10 & - 8 & - 8 \\4 & - 4 & - 10 & 0\end{array}$$
-Refer to Exhibit 8.3.What is the beta for Radtron using the proxy index?

• A) 0.87
• B) 0.97
• C) 1.02
• D) 1.15
• E) 1.28

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Definitions:

Single Product

A business strategy or market condition where a company focuses on and sells only one product.

Absorption Costing

A costing method that includes all manufacturing costs - direct materials, direct labor, and both variable and fixed overhead - in the price of a product.

Net Operating Income

The profit a company makes after deducting operating expenses from gross income, excluding interest and taxes.

Variable Costing

An accounting method that includes only variable production costs (direct materials, direct labor, and variable manufacturing overhead) in product cost calculations, excluding fixed overhead.