Based on a Predicted Level of Production and Sales of 30,000

question 156

Multiple Choice

Based on a predicted level of production and sales of 30,000 units,a company anticipates total contribution margin of $105,000,fixed costs of $40,000,and operating income of $65,000.Based on this information,the budgeted operating income for 28,000 units would be:

• A)$52,000.
• B)$135,333.
• C)$58,000.
• D)$72,500.
• E)$105,000.

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Definitions:

Variability

The extent to which data points in a set differ from each other and from the average, indicating the spread or dispersion.

Reactivity

The tendency of participants to change their behavior due to the awareness of being observed or studied.

Internal Consistency Reliability

Reliability assessed with data collected at one point in time with multiple measures of a psychological construct. A measure is reliable when the multiple measures provide similar results.

Interrater Reliability

The degree of agreement among raters or judges, ensuring consistency in the assessment or observation of a variable.