A Local Distributor for a Belgian Chocolate Manufacturer Expects to Sell

question 54

Multiple Choice

A local distributor for a Belgian chocolate manufacturer expects to sell 12,000 cases of chocolate truffles next year.The annual holding costs for the truffles are $16 per case per year.The ordering cost is $60 per order.The distributor operates 320 days a year.In this example,______.

• A)the total holding costs are given by 12,000 divided by $16
• B)the total holding costs are given by 150 times $16
• C)the total holding costs are given by 12,000 times $16
• D)the total holding costs are given by 300 divided by $16

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Definitions:

Conditioned Response

A learned reaction to a previously neutral stimulus due to repeated association with an unconditioned stimulus.

Unconditioned Response

An automatic, natural reaction to a stimulus that occurs without prior conditioning.

Rescorla-Wagner

A model proposing that the strength of a conditioned response depends on the unexpectedness of the unconditioned stimulus.

Comparator Theory

The theory that the ability of a particular stimulus to elicit a conditioned response (CR) depends upon a comparison of the level of conditioning to that stimulus and to other stimuli paired with the unconditioned stimulus (UCS).