Which of the Following Is an Example of the Availability

question 148

Multiple Choice

Which of the following is an example of the availability heuristic?

• A)being more afraid of flying than driving because of heavy media coverage of airplane crashes
• B)believing that a friend failed a test due to lack of intelligence,whereas you failed the test because you were unable to study due to various factors
• C)thinking that an older student in the hall is a professor
• D)being more upset about missing an important flight by a few minutes than about missing it by several hours

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Definitions:

Average Sale Period

The average time it takes for a company to complete a sale, from initiating contact with a client to closing the deal.

Cost of Goods Sold

Direct financial responsibilities stemming from the fabrication of goods a company sells, incorporating materials and labor.

Inventory

Items held by a company awaiting sale or use in production, including raw materials, work-in-progress, and finished goods.

Times Interest Earned

A financial metric that measures a company's ability to meet its debt obligations by comparing its earnings before interest and taxes (EBIT) to its annual interest expense.