With the Aid of Computer Software, Managers Can Vary Assumptions

question 205

Multiple Choice

With the aid of computer software, managers can vary assumptions regarding selling prices, costs, and volume and can immediately see the effects of each change on the break-even point and profit. This is called:

• A) "What if" or sensitivity analysis
• B) vary the data analysis
• C) computer aided analysis
• D) data gathering

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Definitions:

Type B Behavior Pattern

A personality type characterized by relatively relaxed, non-urgent approach to life, in contrast to the more intense, competitive nature of Type A behavior.

External Locus of Control

The belief that outcomes in one's life are due to external forces beyond one's control rather than one's own actions.

General Adaptation Syndrome

A three-stage process that describes the physiological changes the body goes through when under stress: alarm, resistance, and exhaustion.

Alarm Reaction

The first stage of the GAS, which is triggered by the impact of a stressor and characterized by sympathetic activity.