Amy Is Being Interviewed as Part of a Research Study

question 63

Multiple Choice

Amy is being interviewed as part of a research study. During the interview she makes a point of expounding upon her many charitable activities in the communities, while conveniently "forgetting" to discuss the time she spent in jail for shoplifting. Her behavior is an example of ______.

• A) the fundamental attribution error
• B) the actor-observer effect
• C) the saliency bias
• D) the social desirability bias

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Definitions:

Variable Overhead Rate Variance

The difference between the actual variable overhead incurred and the standard variable overhead expected, based on the actual activity level.

Variable Overhead

Indirect, fluctuating costs that change with the level of production or organizational activity.

Direct Labor-hours

The aggregate amount of time spent by staff directly participating in the production process or in service provision.

Variable Overhead Efficiency Variance

A financial metric indicating the difference between the actual variable overhead costs incurred and the expected (or standard) costs, based on the efficient use of variable inputs.