Magnus Has Come to Mistrust the Company He Works for in Recent

question 101

Multiple Choice

Magnus has come to mistrust the company he works for in recent months. Which of the following examples most likely caused this?

• A) Magnus's efforts to get a new vending machine installed failed.
• B) Magnus learned that his employer uses unethical advertising practices.
• C) Magnus became disappointed when his employer did not promote a close friend.
• D) Magnus had to fire an employee who had worked for his company for many years.
• E) Magnus proposed a policy that was partially successful in increasing company revenue.

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Definitions:

Variable Expenses

Costs that fluctuate with production volume or business activity levels, such as materials and labor.

Fixed Expenses

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

Annual Sales

The total revenue generated from goods or services sold by a company during a fiscal year.

Advertising Budget

The amount of money allocated by a company to spend on advertising campaigns over a specific period.