Failing to Consider All Relevant Data, and Just Using the Information

question 52

Multiple Choice

Failing to consider all relevant data, and just using the information most readily available or easily recalled is known as ________.

• A) the groupthink bias
• B) the anchoring bias
• C) the availability bias
• D) the confirmatory bias

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Definitions:

Capital Stock

The total amount of shares a company is authorized to issue, representing the owners' equity in the corporation.

Investing Activity

Financial activities related to the acquisition and sale of long-term assets and other investments not considered cash equivalents.

Income Statement

A fiscal statement detailing a firm's income, expenditures, and earnings during a determined timeframe.

Cash Flows

The aggregate sum of funds moving into and out of a company, particularly influencing its liquidity.