RESEARCH STUDY 7.1 Dr. Oswald Conducts a Study Examining the Relationship Between the Relationship

question 31

Multiple Choice

RESEARCH STUDY 7.1
Dr. Oswald conducts a study examining the relationship between the number of friends one has and the experience of daily stress and life satisfaction. She randomly samples 1,500 elderly men and women in the Memphis, Tennessee, area in the southern United States. Below are her findings.
 Life satisfaction and experience of daily stress: r = -.57 (p = .01)
 Number of friends one has and experience of daily stress: r = .09, not sig.
 Number of friends one has and life satisfaction: r = .36 (p = .04)
-Refer to Research Study 7.1 above to answer the following question. Dr.Oswald has decided to examine one of her relationships with a scatterplot to double-check for a curvilinear relationship.Which relationship will be most important for her to examine?

• A) Life satisfaction and experience of daily stress
• B) Number of friends one has and experience of daily stress
• C) Number of friends one has and life satisfaction
• D) Both a and b
• E) Both a and c

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Definitions:

Contribution Format

An income statement format that separates fixed and variable costs, showing the contribution margin which covers fixed costs and profits.

Absorption Costing

A bookkeeping strategy that encompasses all production expenses, including direct materials, direct labor, and variable plus fixed overhead, into the pricing of a product.

Variable Costing

An accounting method that only includes variable production costs (direct materials, direct labor, and variable manufacturing overhead) in product costs and treats fixed overhead expenses as period costs.

Variable Costing Income

An accounting method that considers only variable costs—costs that vary with production—when determining cost of goods sold and, ultimately, income.