Synergy is defined as the:

A) Positive incremental net gain associated with the combination of two firms.
B) Entering into a new industry in search of profitable opportunities.
C) Economies of scale that relate to the average cost of goods produced.
D) Process of removing existing managers after a successful takeover.
E) Benefit of the lockup agreement.

Standard cost is the industry average cost for a particular item.

Approximately how much more does it cost to attract one new customer than to keep an existing one?

A) Five times as much
B) Three times as much
C) Twice as much
D) About the same

You recently overheard your boss telling someone that if he'd actually crunched some numbers and done some analysis instead of just going with his instincts that he never would have opened the new store in Centre City. Which one of the following caused your boss to make a bad decision?

A) Regret aversion.
B) Endowment effect.
C) Money illusion.
D) Affect heuristic.
E) Representativeness heuristic.

Which leadership perspective takes the view that leadership is a characteristic of the person?

A) Transactional perspective of leadership.
B) Competency (trait) perspective of leadership.
C) Behavioral perspective of leadership.
D) Path-goal leadership.
E) All of the above.

Bryce Co. sales are $914,000, variable costs are $498,130, and operating income is $196,000. What is the contribution margin ratio?

A) 52.2%
B) 28.4%
C) 54.5%
D) 45.5%