The Following Table Shows the Relationship Between the Speed of a Computer's

question 99

Multiple Choice

The following table shows the relationship between the speed of a computer's CPU and its benefits and costs. Assume that all other features of the computer are the same (that is, CPU speed is the only source of variation) , and only the CPU speeds listed below are available for purchase. The total cost of a 2.5GHz computer is:

• A) $1,000.
• B) $900.
• C) $200.
• D) $100.

Appreciate the role of conceptual replications in enhancing the generalizability of research findings.

Understand the relationship between output size and the concepts of economies of scale and diseconomies of scale.

Understand the shapes of average total cost (ATC) and average variable cost (AVC) curves and their significance.

Understand and identify examples of Parkinson's Law in organizational contexts.

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Definitions:

Departmental Accounting System

An accounting method used to separately track the performance and financial records of different departments within a company.

Service Center

A department or facility providing support services to other units within an organization, often not directly generating profit.

Cost Center

A department or segment of a business wherein costs can be directly attributed, but which does not directly generate revenue.

Allocation Basis

Allocation basis is a criterion used to distribute costs among different departments, products, or activities based on their use or consumption.