The Following Income Statement Was Produced When Volume of Sales

question 65

Multiple Choice

The following income statement was produced when volume of sales was at 400 units. $$\begin{array} { | l | l r | } \hline \text { Sales Revenue } & \$ & 2,000 \\\text { Variable Cost } & & 1,200 \\ \text { Contribution Margin } & \$ & 800 \\\text { Fixed Cost } & & 300 \\\text { Net Income } & \$ & 500 \\\hline\end{array}$$ If volume reaches 500 units,net income will be:

• A) $625
• B) $1,800
• C) $700
• D) None of the above

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Definitions:

Sensory Memory

The capacity to hold sensory information impressions briefly after the initial stimuli are gone, representing the most fleeting aspect of memory.

Proactive Interference

The phenomenon where old memories hinder the recall of newly acquired information.

Sensory Memory

The shortest-term element of memory, which allows retention of impressions of sensory information after the original stimulus has ceased.

Chunking

A memory strategy that involves grouping or organizing bits of information into larger units, which are easier to remember.