A Measuring Tool Is Considered to Be Valid When It

question 3

Multiple Choice

A measuring tool is considered to be valid when it

• A) is reliable.
• B) is easy to use.
• C) yields consistent results.
• D) measures what is supposed to evaluate.

---

Definitions:

Sales Decline

A decrease in the volume or value of sales over a specific period.

Margin of Safety

The extent by which sales can fall before reaching the break-even point.

Break-even Sales

The amount of revenue required to cover all fixed and variable expenses associated with producing and selling a product.

Dollars

A unit of currency used in various countries, including the United States, associated with financial transactions, savings, and debts.