Sherlock Holmes, the Famous Detective, Notices That All of the Coffee

question 5

Multiple Choice

Sherlock Holmes, the famous detective, notices that all of the coffee cups in your house have the handles facing to the left. He concludes that you must, therefore, be left-handed. Sherlock has just used

• A) the justification fallacy.
• B) belief bias.
• C) deductive reasoning.
• D) inductive reasoning.
• E) the logical fallacy.

---

Definitions:

Financing Activities

These activities relate to changes in the size and composition of the equity and borrowings of an entity, reported in the statement of cash flows.

Retirement

The act of leaving one's job and ceasing to work, often due to age, after a career of service, with financial support through savings, investments, or pensions.

Long-Term Note

A debt security with a maturity of more than one year, used by businesses and governments to borrow money.

Common Stock

An equity security representing ownership in a corporation, with rights to dividends and voting in corporate decisions.