A Favorable Sales Volume Variance in Variable Costs Suggests A(n)________

question 38

Multiple Choice

A favorable sales volume variance in variable costs suggests a(n) ________.

• A) increase in number of actual units sold when compared to the expected number of units sold
• B) decrease in number of actual units sold when compared to the expected number of units sold
• C) increase in variable cost per unit
• D) decrease in fixed costs

Recognize how prospect theory explains human behavior towards risks and rewards.

Identify the influence of anchoring on decision-making.

Grasp the key principles of behavioral economics related to gains, losses, and status quo.

Understand how credit card companies benefit from consumer behavior patterns.

---

Definitions:

Road Accidents

Unexpected events on the road that involve vehicles, and sometimes pedestrians, resulting in damage, injury, or death.

Protection Motivation Theory

Adopting a healthy behaviour requires cognitive balancing between the perceived threat of illness and one’s capacity to cope with the health regimen.

Dangerous Health Practices

Activities or habits that are harmful to one's health, potentially leading to serious illness, injury, or death.

Fear Messages

A method of persuasion that emphasizes the potential dangers and negative outcomes of not performing a certain action or behavior.