To Determine the Effect of Change in Ticket Price on Attendance

question 55

Multiple Choice

To determine the effect of change in ticket price on attendance, a market researcher may devise a laboratory experiment in which fans are offered the opportunity to purchase a ticket at a variety of prices. In this experiment, price would be the

• A) independent variable.
• B) effect variable.
• C) dependent variable.
• D) result variable.
• E) extraneous variable.

---

Definitions:

Net Operating Income

A financial metric that represents the profit a company generates from its operations, excluding expenses from interest and taxes.

Absorption Costing

A method of accounting for the total cost of production, including fixed and variable costs, to value inventory.

Variable Costing

A method of accounting that exclusively accounts for variable production expenses—direct materials, labor directly assigned to production, and variable manufacturing overhead—when calculating the cost of products.

Absorption Costing

An accounting method that includes all manufacturing costs, both fixed and variable, in the cost of a product, required for external reporting in many jurisdictions.