Which of the Following Statements About Rating Biases Are True

question 145

Multiple Choice

Which of the following statements about rating biases are true?

• A)women in stereotypically male jobs are rated higher than women in stereotypically female jobs.
• B)attractive women are rated higher if they hold management jobs than if they hold non-management positions.
• C)liking someone may cause the rater to selectively remember positive things about the person and thus rate him higher.
• D)leniency bias can be addressed by having the rater use absolute rankings.

---

Definitions:

Price of Equity

The cost of raising capital through the sale of shares, including the dilution of ownership and dividend distribution to shareholders.

Book Value

The net value of a company's assets, as recorded on the balance sheet, minus its liabilities and intangible assets.

Equity Capital

Funds raised by a company through the issuance of shares, representing ownership interest in the company.

Share Price

The current market price of a company's share, reflecting its perceived value by investors.