Table 22-7 -Refer to Table 22-7.The Table Shows the Most Preferred Budget

question 142

Multiple Choice

Table 22-7

-Refer to Table 22-7.The table shows the most preferred budget of 75 voters.In an election,each voter will select the budget closest to his or her most preferred budget.Which of the following statements regarding this information is true?

• A) In an election between a $33 budget and a $37 budget, the $33 budget will win.
• B) Since the median voter theorem implies that the budget of the median voter will win the election, we would expect the overall best budget to be $25, the median of the available budgets.
• C) In an election between a $10 budget and a $40 budget, the $40 budget will win.
• D) Both b and c

Perform information triage in evaluating conversations.

Understand the importance of social decentering in effective communication.

Differentiate between facts and inferences in communication.

Avoid generalizations in cross-cultural communication and practice cultural sensitivity.

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Definitions:

Arbitrary Cut-Off

A subjective or chosen without any specific standard or rule, end point or threshold.

Market Rate Of Return

The average rate of return anticipated from an investment based on its risk level, historical market performance, and economic conditions.

Mutually Exclusive Projects

Investment projects where the acceptance of one project prevents the acceptance of another.

Crossover Point

The point at which two or more alternative investments have the same net present value or rate of return.