Noticing That His Heart Was Pounding and That His Palms

question 63

Multiple Choice

Noticing that his heart was pounding and that his palms were sweaty while he was taking a difficult test, Harley concluded that he was "anxious." Noticing that his heart was pounding and that his palms were sweaty when an attractive lady asked him to dance, Harley concluded that he was "falling in love." The differing emotions experienced by Harley can best be explained by the

• A) relative deprivation principle.
• B) James-Lange theory.
• C) two-factor theory.
• D) catharsis hypothesis.

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Definitions:

EAR

Effective Annual Rate, a representation of an interest rate that takes into account the compounding of interest, shown as an annual rate.

Preferred Stock

A type of stock that entitles the holder to a fixed dividend, whose payment takes priority over that of common-stock dividends.

Dividend

A portion of a company's earnings that is distributed to shareholders, typically in the form of cash payments or additional shares.

Rate Of Return

The fiscal benefit or detriment arising from an investment over a certain period, computed as a percentage of the initial cost of the investment.