Relying on the First Few Pieces of Information to Form

question 39

Multiple Choice

Relying on the first few pieces of information to form a first impression is called the:

• A)primacy effect.
• B)recency effect.
• C)transference.
• D)halo effect.

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Definitions:

Equipment

Tools, machinery, and other durable assets used in the production of goods or services.

Maintenance Hangar

A facility dedicated to the maintenance, repair, and overhaul (MRO) of aircraft.

Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term financial health of the company.

Discount Rate

The interest rate used to discount future cash flows of a financial instrument to present value, helping to determine its worth.