The Perceptive Manager (Scenario)

question 149

Multiple Choice

The Perceptive Manager (Scenario)
Rami has been a manager for several years. He has several employees who work directly for him. Rami tries to understand these employees so that he can help them do a better job, motivate them, and understand their needs better.
-Rami watches these employees when he gets a chance, but he is only able to see them part of the day. The rest of the time he assumes that they are working diligently because he works diligently most of the time. Rami's perceptions of his employees are based on ________.

• A) halo effect
• B) stereotyping
• C) selectivity
• D) assumed similarity

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Definitions:

Pay Interest

The act of making periodic payments to lenders as compensation for borrowing money.

Coupon Rate

The yearly rate of interest distributed on a bond, represented as a percentage of its principal value, from the moment it is issued until it reaches its maturity date.

Par Value

The stated value of a financial instrument such as a bond or stock, as declared by the issuer.

Yield To Maturity

The total expected return on a bond if held until it matures, considering both interest payments and capital gains or losses due to the difference between purchase price and maturity value.