An Example of an Unconscious Bias Is That Managers

question 59

Multiple Choice

An example of an unconscious bias is that managers

• A) hire people who are unlike them, since opposites attract.
• B) think they are immune to conflicts of interest.
• C) take less credit than they deserve.
• D) take blame themselves instead of blaming others.
• E) act only in an ethical manner.

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Definitions:

Selling Shareholders

Investors or entities that own a company's shares and are selling them in a public offering or private sale.

Net Operating Losses

Financial losses that a company reports when its operating expenses exceed its revenues, which can be used for tax relief.

Tax Liability

The total amount of tax owed to the tax authorities by an individual, organization, or company at any given time.

Optimal Size

Optimal size is the most efficient scale of operation for a firm where it can minimize its cost and maximize its profitability.