A "Predecision" Is ________

question 88

Multiple Choice

A "predecision" is ________.

• A) an intuitive decision-making model
• B) the tendency to have your mind made up before knowing all the facts
• C) a decision about what process to follow in making a decision.
• D) None of the above.

---

Definitions:

Contribution Margin Ratio

The percentage of sales revenue that exceeds variable costs, indicating how much revenue contributes to covering fixed costs and generating profit.

Mixed Costs

Expenses that have both fixed and variable components, changing with the level of production but also incurring a base cost.

CVP Analysis

Cost-Volume-Profit Analysis, an accounting tool used to determine how changes in costs and volume affect a company's operating income and net income.

Variable

In finance and economics, a variable represents a quantity or factor that can change and influence outcomes, such as price, interest rates, or investments.