In Deciding Whether to Drop Its Electronics Product Line, a Company's

question 38

Multiple Choice

In deciding whether to drop its electronics product line, a company's manager should consider all of the following EXCEPT:

• A) the variable and fixed costs it could save by dropping the product line.
• B) the revenues it would lose from dropping the product line.
• C) how dropping the electronics product line would affect sales of its other products, like CDs.
• D) the amount of unavoidable fixed costs.

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Definitions:

Double-Blind Control

A study or experiment design in which neither the participants nor the experimenters know who is receiving a particular treatment, to prevent bias.

Experimenter Bias

A form of bias introduced into a study's results due to the experimenter's expectations, attitudes, or behavior affecting the subjects' performance or responses.

Independent Variable

The factor in a study that the investigator alters to examine its impact on the outcome variable.

Dependent Variable

Refers to the variable in an experiment that is expected to change as a result of variations in the independent variable.