If an Entity Increases Its Level of Activity

question 4

Multiple Choice

If an entity increases its level of activity

• A)no costs will remain the same.
• B)some costs will vary,others will not.
• C)most costs will rise.
• D)costs should remain the same.

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Definitions:

Inductive Reasoning

A logical process in which multiple premises, all believed true or found true most of the time, are combined to obtain a specific conclusion.

Deductive Reasoning

A logical process in which a conclusion follows necessarily from the stated premises; inference from general to specific.

Inductive Reasoning

A method of reasoning in which specific observations or examples are used to form a general conclusion or principle.

Hypothetical Thinking

The process of exploring and considering possibilities or outcomes that do not currently exist or have not yet occurred.