Consider the Spreadsheet Model Shown in the Figure Below A)descriptive Model

question 59

Multiple Choice

Consider the spreadsheet model shown in the figure below.This is an example of a
$\begin{array}{|l|c|r|c|} \hline& \text { A } & \text { B } & \text { C } \\\hline 1 & & & \\\hline 2 & & & \\\hline 3 & \text { Purchase price } & \$ 32,500 & \\\hline 4 & \text { less: } & & \\\hline 5 & \text { Down payment } & \$ 6,500 & \\\hline 6 & \text { Trade-in } & \$ 4,000 & \\\hline 7 & \text { Amount financed } & \$ 22,000 & \\\hline 8 & & & \\\hline 9 & \text { Term of loan } & 5 \text { years } & \\\hline 10 & & & \\\hline 11 & \text { Annual interest rate } & 11.25 \% & \\\hline 12\\\hline 13 & \text { Monthly payment } & \$ 481.08 & \\\hline 14 & & & \\\hline\end{array}$

• A)descriptive model.
• B)predictive model.
• C)prescriptive model.
• D)preventive model.

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Definitions:

Opportunity Cost

The price paid for not selecting the immediate alternative choice while deciding.

Production Possibilities Curve

A graphical representation showing the maximum combinations of goods or services an economy can produce given its resources and technology.

Opportunity Cost

The cost of foregoing the next best alternative when making a decision.

Baseballs

Spherical balls used in the game of baseball, crafted from cork and rubber, and covered with stitched leather.