Ruozzo Corporation Is a Service Company That Measures Its Output

question 396

Multiple Choice

Ruozzo Corporation is a service company that measures its output by the number of customers served. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes and the actual results of operations for July.
When the company prepared its planning budget at the beginning of July, it assumed that 27 customers would have been served. However, 22 customers were actually served during July.
-The "Employee salaries and wages" in the flexible budget for July would have been closest to:

• A) $67,400
• B) $63,300
• C) $77,686
• D) $62,900

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Definitions:

Variable-Ratio

Refers to a schedule of reinforcement where a response is reinforced after an unpredictable number of responses, which is used in behavior modification and operant conditioning.

Fixed-Interval

In the context of psychology, a schedule of reinforcement where rewards are given after a specific, constant amount of time has passed.

Stimulus Generalization

The tendency for a conditioned response to be triggered by stimuli similar to the original conditioning stimulus.

Look-Alike Packaging

Packaging designed to mimic the appearance of a popular brand's product, often to confuse consumers or to leverage the brand's identity.