Sheetal Dislikes Advertisements for Beauty Products

question 89

Multiple Choice

Sheetal dislikes advertisements for beauty products. She believes the advertisements make false claims about the products and mislead people into buying them. Hence, she changes the channel whenever such commercials are aired on the TV. This is an example of _____. 

• A)selective avoidance  
• B)effort justification  
• C)the fear appeal  
• D)the bystander effect

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Definitions:

Contribution Margin

The amount remaining from sales revenue after variable costs are deducted, contributing towards covering fixed costs and earning profit.

Break Even Point

The point at which total costs and total revenue are equal, meaning the business is neither making a loss nor a profit.

Unit Contribution Margin

The amount each unit sold contributes towards covering fixed costs and generating profit, calculated as the sales price per unit minus variable cost per unit.

Fixed Costs

Costs that do not vary with the volume of output, such as rent, salaries, and insurance.