Groups Often Experience What Is Known as a Risky Shift

question 66

Multiple Choice

Groups often experience what is known as a risky shift (group members are willing to consider riskier alternatives than they would as individuals) . One of the chief reasons for this phenomenon is
)

• A) decision polarization
• B) regeneration hypothesis
• C) diffusion of responsibility
• D) group in- fighting
• E) degeneration hypothesis

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditure to the appropriate periods.

Periodic Inventory System

A method of inventory valuation for financial reporting purposes where a physical count of inventory is performed at specific intervals, and cost of goods sold is calculated at the end of the accounting period.

Merchandise Purchased

The total cost of goods bought for resale during a specific accounting period.

Purchases Discounts

A reduction in the price of goods that a buyer can take advantage of if they pay by a certain date.