Mike Manager prefers alternatives that lower the degree of operating leverage. Which of the following statements about Mike is probably true?
A)Mike loves to gamble in Las Vegas
B)Mike is a pessimist
C)Mike likes to avoid risk
D)Both (b)and (c)are likely to be true

Question

Quizplus · Accepted Answer

Mike prefers alternatives that lower the degree of operating leverage, which suggests he likes to avoid risk and is likely a pessimist, as both traits align with a preference for stability and predictability.

Mike Manager Prefers Alternatives That Lower the Degree of Operating