If a supervisor fails to give an employee a negative evaluation because of fear of damaging a good working relationship, this is known as the:

• A.Leniency error.
• B.Regency effect.
• C.Halo effect.
• D.Contrast error.

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The estimated demand for pretzels at the next home football game using a deterministic approach based on the most likely outcome is:

• A.4,000 pretzels.
• B.4,400 pretzels.
• C.5,000 pretzels.
• D.6,000 pretzels.

Correct Answer: C

A deterministic approach assumes that a value is known with certainty. If that value is deemed to be the most likely outcome, assumed demand will be 5,000 pretzels,

The volume with the highest probability 35%). A beverage stand can sell either soft drinks or coffee on any given day. If the stand sells soft drinks and the weather i= hot, it will make US $2,600; if the weather is cold, the profit will be US $1,000. If the stand sells coffee and the weather is hot, it will make US $1,900: if the weather is cold, the profit will be US $2,000. The probability of cold weather on a given day at this time is 60°l%.

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Which of the following designations refers to taxes that will not necessarily take a larger absolute amount of income as income rises?

• A.Progressive.
• B.Proportional.
• C.Regressive
• D.Regenerative

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An investor has acquired an organization that has a dominant position in a mature, slow-growth industry and consistently creates positive financial income. Which of the following terms would the investor most likely label this investment in her portfolio?

• A.A star
• B.A cash cow
• C.A question mark
• D.A dog

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An entity's receivables collection period is equal to the:

• A.Inventory conversion period.
• B.Cash conversion cycle.
• C.Day's sales outstanding.
• D.Inventory divided by average daily sales.

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