Refer to the Information in the Previous Question

question 27

Multiple Choice

Refer to the information in the previous question.You have been advised that sales revenues may be 10 percent lower and/or development costs may be 10 percent higher.Performing a sensitivity analysis,you conclude:

• A)A 10 percent decrease in sales revenues would have a bigger impact on returns than a 10 percent increase in development costs
• B)A 10 percent increase in development costs would have a bigger impact on returns than a 10 percent decrease in sales revenues
• C)A 10 percent increase in development costs and a 10 percent decrease in sales revenues would have opposite impacts on returns,canceling each other out and having no impact on returns
• D)Both factors would have such a small impact,that there is no reason to be concerned about either a 10 percent increase in development costs or a 10 percent decrease in sales revenues

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Definitions:

Feel rested

The sensation of having regained energy and alertness after resting or sleeping, often associated with physical and mental well-being.

Obstructive sleep apnea

A disorder where breathing repeatedly stops and starts during sleep due to throat muscles intermittently relaxing and blocking the airway.

Continuous positive airway pressure

A treatment that uses mild air pressure to keep the airways open, commonly used for patients with breathing problems, such as sleep apnea.

Administer benzodiazepine-like drugs

The act of giving medications that act on the central nervous system to produce sedation, induce sleep, relieve anxiety and muscle spasms.