This Year Port City Was Sued for Injuries Sustained When

question 3

Multiple Choice

This year Port City was sued for injuries sustained when a citizen slipped and broke her hip on the icy City Hall steps.The City attorney estimates the City will be held liable by the courts and a judgment of $200,000 will result.Because of the nature of the case it will likely be four years before the City makes any payment related to the accident.The present value of the likely future payment is $167,000.In the General Fund, at the end of the current fiscal year, Port City should recognize a liability of

• A)$200,000.
• B)$167,000.
• C)$0 with required note disclosure.
• D)$0 with no required not disclosure.

Recognize the assumptions underlying the rational and bounded rationality models of decision making.

Grasp the concept of rationality in decision making, including optimizing and satisficing behaviors.

Learn about the impact of escalation of commitment on decision making.

Apply the Z problem-solving model to enhance decision-making effectiveness.

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Definitions:

Falsifiability

The principle that a scientific theory must be capable of being proven wrong as a criterion for being considered scientific.

Independent Variables

In an experiment, the variable that is manipulated or controlled by the researcher to observe its effect on the dependent variable.

Dependent Variables

These are variables in an experiment that are expected to change as a result of an experiment's manipulation of the independent variable.

Blind Observers

Individuals who assess experimental data or conduct an evaluation without knowing the specific details or hypothesis being tested to prevent bias.