When Pavati Orders a Hot Fudge Sundae and a Diet

question 205

Multiple Choice

When Pavati orders a hot fudge sundae and a diet soda, she tells herself that the calories from the ice cream really are not a big deal because the diet soda sort of balances it all out. Which of Freud's defense mechanisms is motivating Pavati?

• A) repression
• B) rationalization
• C) sublimation
• D) projection

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Definitions:

Annual Interest Rate

The percentage increase in money owed or invested over a year, due to interest.

Amortize

The process of gradually paying off a debt or spreading the cost of an intangible asset over its useful life for accounting and tax purposes.

Equal End-of-Year

A term referring to payments or allocations that are made uniformly at the end of each year.

Effective Annual Rate

The effective annual rate (EAR) is the interest rate on a financial product restated from nominal terms into an annualized rate accounting for compounding over a period.