You Want to Order a Pizza and Need to Pay

question 5

Multiple Choice

You want to order a pizza and need to pay with a credit card. You glance at your credit card number and then put the card back into your wallet. When it comes time to pay, you can only remember the first four numbers. Which of the following provides the BEST explanation as to why?

• A) Working memory is limited to 15 items, and your card has 16 digits.
• B) Your credit card number is mostly 4's and 2's and you get confused.
• C) The pizza delivery guy keeps talking while you are rehearsing the digits.
• D) Working-memory capacity is reduced because you have to hold the phone.

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Definitions:

Assets

Resources owned or controlled by an entity with expected future economic benefits.

Sales

The total revenue earned from the sale of goods or services related to a company's primary operations.

Common Stock

Common stock is a type of security that represents ownership in a corporation, granting holders voting rights and a share in the company's profits through dividends.

ROE

Return on Equity, a measure of financial performance calculated by dividing net income by shareholders' equity, indicating how effectively management is using a company’s assets to create profits.