Which Statement Is True of Contingency Reserves

question 4

Multiple Choice

 Which statement is true of contingency reserves?

• A) They allow for future situations that can be partially planned for.
• B) They are also known as unknown unknowns.
• C) They are not included in a cost baseline.
• D) They allow for dollar amounts to be used to cover existing, fixed costs.

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Definitions:

Function Morphemes

The grammatical units in a language that express syntactic relationships between words in a sentence but do not typically carry lexical meaning themselves.

Prototype Theory

A cognitive theory which suggests that when people categorize objects or concepts, they match them against an internal "best example" or prototype of the category.

Folk Theory

A set of beliefs or assumptions that are widely held by the general public but not necessarily backed by scientific evidence.

Furniture

Objects typically found in homes or offices that are used to support human activities such as seating, sleeping, and storing items.