Which One of the Following Items Below Would Not Affect

question 105

Multiple Choice

Which one of the following items below would not affect the investor's income for the period?

• A) interest received on a temporary investment in bonds
• B) dividends received on a long-term investment in stock where the investor owns 10% of the investee's stock
• C) dividends received on a long-term investment in stock where the investor owns 30% of the investee's stock
• D) interest received on a long-term investment in bonds

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Definitions:

Sales Goals

Sales goals are targets set by businesses for their sales teams to achieve within a specific time period, aimed at driving performance and increasing revenue.

Static Budget

A financial plan that does not change over the period it covers, regardless of any changes in activity or actual performance.

Actual Variable Costs

Expenses that vary directly with the level of production or sales volume.

Planned Variable Costs

The forecasted variable expenses that change in proportion to the activity of a business.