When Our Behaviors Are Inconsistent with Our Values or Beliefs

question 34

Multiple Choice

When our behaviors are inconsistent with our values or beliefs, we are NOT likely to experience cognitive dissonance if __________.

• A) the beliefs are integral to our self-concepts
• B) we engaged in the behavior voluntarily
• C) no one observed the inconsistent behavior
• D) we can point to external justifications for our behavior

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Definitions:

Variable Cost Ratio

The proportion of variable costs to total sales, indicating how variable costs change with sales levels.

Bond Issue

The process by which a borrower issues bonds to raise funds from investors willing to lend them money for a certain period.

Operating Leverage (DOL)

Operating leverage measures how revenue growth translates into growth in operating income. It is a measure of how sensitive the operating income is to the change in revenues.

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent or salaries.