Assume You Are an Overconfident Manager

question 50

Multiple Choice

Assume you are an overconfident manager. You are most apt to do which one of the following more so than you would if you were not overconfident?

• A) Research a project more thoroughly before committing funds to commence it.
• B) Accept risky projects that turn out to be less profitable than you expected.
• C) Wait until new technology proves its worth before incorporating it into your firm's operations.
• D) Avoid mergers and acquisitions.
• E) Invest excess company cash more conservatively than your peers at other firms.

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Definitions:

Fluid Intelligence

The aspect of human intelligence that involves the ability to reason, think flexibly, and solve new problems without relying on acquired knowledge.

Crystallized Intelligence

The skill to apply acquired knowledge and past experiences.

General Intelligence

A theory suggesting the existence of a broad mental capacity that influences performance on cognitive ability measures.

Memory

The faculty by which the mind stores and remembers information, enabling learning and consciousness of past experiences.