Something That Cannot Be Directly Observed, but Which Links Various

question 188

Multiple Choice

Something that cannot be directly observed, but which links various procedures to various responses is called a(n)

• A) intervening variable.
• B) hypothesis.
• C) theory.
• D) interacting variable.

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Definitions:

Required Sales

The amount of sales needed to achieve a specific financial goal, such as breaking even or reaching a profit target.

Contribution Margin Ratio

The percentage of each sales dollar remaining after variable costs are subtracted, available to cover fixed costs and provide profit.

Unit Contribution Margin

The difference between the selling price of a single unit and its variable costs, indicating the contribution towards covering fixed costs and generating profit.

Cost-Volume-Profit Analysis

Cost-Volume-Profit Analysis is a management accounting tool that helps determine how changes in cost and volume affect a company's profit.