Which of the Following Statements Is True

question 197

Multiple Choice

Which of the following statements is true?

• A) Managers can lower operating risk by changing fixed costs to variable costs in the long-term.
• B) Managers can lower operating risk by changing variable costs to fixed costs in the long-term.
• C) Managers can lower operating risk by reducing the selling price and increasing volume.
• D) Managers can lower operating risk by increasing the selling price and reducing volume.

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Definitions:

Multinational Corporation

A large company that operates in several countries around the world, managing production or delivering services in multiple nations.

Minimum-wage Teenager

A teenager employed at the minimum legal wage, often used in discussions on labor economics and employment policies.

Consumers' Pockets

Refers to the purchasing power and available spending money of individuals or households for goods and services.

U.S. Health Care Spending

This refers to the total expenditures on health care services and goods in the United States, including both public and private spending.