If a vendor has correctly used marginal analysis to select its stock levels for the day (as in the newsperson problem in the text), and if the profit resulting from the last unit being sold (Cu) is $0.90 and the loss resulting from that unit if it is not sold (Co) is $0.50, which of the following is the probability of the last unit being sold?

A. Greater than 0.357
B. Greater than 0.678
C. Greater than 0.400
D. Greater than 0.556
E. None of these


Answer: A

Business

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Why is defining the problem considered the most difficult step of the marketing research process?

A. It avoids situation analysis study in most cases. B. Failure to correctly define the problem will make all subsequent steps wasted effort. C. It is the first step of the process. D. It is easy to confuse problems with symptoms at this stage. E. It involves qualitative research.

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The balance sheet includes historical values that can impact the validity of a firm's financial ratios. 

Answer the following statement true (T) or false (F)

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Delta Inc. generated $668,200 ordinary income from operations this year. It also recognized $3,910 recaptured ordinary income, $5,000 net Section 1231 gain, and $14,600 net capital loss on the sale of assets. Compute Delta's taxable income.

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