This Question Is to Be Considered Independently of All Other

question 4

Multiple Choice

This question is to be considered independently of all other questions relating to Bohlen Corporation. Refer to the original data when answering this question.
-The marketing manager believes that a $20,000 increase in the monthly advertising budget would result in a 180 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change?

• A)decrease of $5,920
• B)increase of $5,920
• C)decrease of $20,000
• D)increase of $25,920

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Definitions:

Refrigerator

An appliance used for keeping food and drinks cold.

Fed

An abbreviation often referring to the Federal Reserve System, which is the central banking system of the United States.

Conditional Response

A learned response that becomes associated with a previously unrelated stimulus as a result of conditioning.

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired: a response that is at first elicited only by the second stimulus is eventually elicited by the first stimulus alone.