Cindy Smith, VP of Finance at Digital Components, Inc.(DCI), theorizes that the discount level offered to credit customers affects the average collection period on credit sales.Accordingly, she has designed an experiment to test her theory using four sales discount rates (0%, 2%, 4%, and 6%)by randomly assigning five customers to each sales discount rate.In Cindy's experiment, "average collection period" is ___.
A)the dependent variable
B)a treatment variable
C)a blocking variable
D)a concomitant variable
E)a constant

Question

Quizplus · Accepted Answer

The dependent variable is the variable being measured in the experiment to see how it is affected by the independent variable(s). In this experiment, the dependent variable is the average collection period, which is being measured to see how it is affected by the different sales discount rates.